UniCredit Launches Capital-Protected Bet on BlackRock’s $75B Bitcoin ETF – Upside Capped at 85%

Key Takeaways:

• The product offers full capital protection at maturity, with returns capped at 85% of the ETF’s performance.
• The offering runs from July 1 to July 28 and is limited to professional clients in Italy.
• Europe has not approved local spot Bitcoin ETFs; banks are turning to structured products as alternatives.

UniCredit will offer a structured investment product tied to BlackRock’s iShares Bitcoin Trust ETF, according to a report published on July 1.

The bank’s five-year certificate is denominated in U.S. dollars and includes full capital protection at maturity. Returns are capped at 85% of the ETF’s performance, and the minimum investment is $25,000, according to a memo reviewed by Bloomberg and confirmed by UniCredit.

First Bitcoin ETF Structured Product for Italian Investors

Based on the report, the offering is limited to professional clients in Italy and will run from July 1 to July 28.

The iShares Bitcoin Trust ETF, approved in the U.S. in January 2024, has since grown to $75 billion in assets. BlackRock also launched a separate Bitcoin exchange-traded product in Europe earlier this year.

“We are seeing increasing interest from professional investors in instruments tied to emerging asset classes such as cryptocurrencies,” said Chicco di Stasi, head of Group Investment Product Solutions and Equity & Credit Sales and Trading at UniCredit.

“With this product, we offer our professional clients a distinctive solution —the first of its kind in Italy,” said di Stasi.

Europe Slowly Progresses with Crypto ETFs

Other European banks have also explored crypto-linked services. Intesa Sanpaolo conducted its first spot Bitcoin purchase in January and operates a trading desk. Banco Santander is considering digital asset services for retail clients through its online platform.

The UniCredit certificate represents one of the first examples of a major eurozone bank packaging exposure to a U.S.-based spot Bitcoin ETF for local clients under structured terms.

Its structure, offering capital protection with capped upside, is a cautious approach to client demand for digital asset exposure within a regulated product framework. It also shows how ETF-linked strategies are being adopted by banks to meet growing interest in Bitcoin without direct ownership or wallet infrastructure.

European regulators have yet to approve their own spot Bitcoin ETFs. Structured certificates tied to foreign ETFs are emerging as a workaround.

Frequently Asked Questions (FAQs)

What are the implications of offering capital-protected crypto products?

Capital protection appeals to risk-averse investors and signals an effort to normalize crypto within traditional finance. It also reflects caution around volatility while still engaging with digital asset demand.

How does linking a European product to a U.S. ETF work under regulation?

By tying returns to a U.S.-based ETF, banks can structure exposure without relying on unapproved local crypto products. This workaround aligns with current EU restrictions on spot Bitcoin ETFs.

What does this mean for broader bank adoption of crypto-linked instruments?

It indicates a measured shift. Traditional institutions are more likely to offer wrapped or hybrid products before committing to full-scale crypto offerings, especially in uncertain regulatory environments.