Key Highlights
- BlackRock moves to challenge Invesco by filing for a Nasdaq 100 ETF, aiming to break its long-held dominance in the market.
- The new ETF would give investors an alternative to Invesco’s QQQ funds, ending its near-exclusive grip on the index.
- BlackRock expands its ETF push while targeting the fast-growing Nasdaq 100 segment with a fresh competitive offering.
BlackRock is moving to take on Invesco in the U.S. ETF market, which is worth about $13.7 trillion. The firm has filed with the U.S. Securities and Exchange Commission (SEC) to launch a new fund, the iShares Nasdaq 100 ETF, which would trade under the ticker IQQ. If approved, it would be one of the few ETFs in the U.S. that track only the Nasdaq 100—and the first one not run by Invesco.
The filing puts BlackRock in direct competition with Invesco’s massive QQQ and QQQM ETFs, which hold $374 billion and $70 billion, respectively. Invesco’s long-standing position was helped by Nasdaq’s tight control over who can use its index, giving it a near-exclusive advantage.
BlackRock’s new ETF would give investors another option to invest in the tech-heavy Nasdaq 100. A Nasdaq spokesperson cited by Bloomberg said, “Nasdaq maintains a valuable, longstanding partnership with Invesco and remains committed to supporting the continued strength and success of the Invesco QQQ Innovation Suite.”
Bloomberg ETF analyst Eric Balchunas pointed to the Nasdaq 100’s performance, noting, “The Nasdaq 100 has doubled SPX’s return since $QQQ launched in ’99 and demolished every active fund mgr.” In his X post, he also highlighted companies like Apple and leaders such as Steve Jobs for helping establish Nasdaq as a center for innovation.
BlackRock expands crypto investment offerings
BlackRock is moving forward with crypto-focused ETFs. Its newly filed iShares Bitcoin Premium Income ETF, trading under $BITA, plans to generate income by using covered call strategies on spot Bitcoin holdings.
The fund builds on BlackRock’s iShares Bitcoin Trust (IBIT), launched in January 2024, which now sees $16–18 billion in daily trading volume.
According to Kaiko, this nearly matches Binance’s spot volumes, showing that institutional investors are shifting toward regulated funds for Bitcoin trading.
U.S. trading sessions now account for 47% of global Bitcoin volume, up from 38%, while Asia-Pacific and European sessions have dropped slightly. The introduction of ETFs has also improved market liquidity. Market depth has risen from $12–15 million before 2024 to $25–35 million after ETFs started trading, sometimes exceeding $40 million.
As a result, large trades can happen without causing big price swings. Balchunas noted, “We got a ticker for the upcoming iShares Bitcoin Premium Income ETF: $BITA. My over/under is 38bps.” This highlights growing interest among investors seeking regulated exposure to Bitcoin.
BlackRock’s moves show its ambition in both traditional and digital markets. Investors now have more choices for Nasdaq 100 exposure and Bitcoin income strategies. Both launches also highlight changing market dynamics, with a focus on innovation, liquidity, and broader access.
Also Read: Strategy’s Bitcoin Machine Restarts: Latest 4,871 BTC Buy Fuels 1M BTC Goal
