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GM to all of you nutcases. It’s Crypto Nutshell #805 scannin’ for news… 🔍🥜

We’re the crypto newsletter that’s more ruthless than a war machine built to win at any cost… 🤖🔥

What we’ve cooked up for you today…

  • 🏦 They want more

  • 🦹 The 2026 supercycle

  • 📉 Outflows return

  • 💰 And more…

Prices as at 3:50am ET

THEY WANT MORE 🏦

BREAKING: BlackRock doubles down on bitcoin fund offerings with income-focused filing

BlackRock just filed for a new kind of Bitcoin ETF - one that pays you income. 🤔

On Friday, the world's largest asset manager filed with the SEC to launch the iShares Bitcoin Premium Income ETF.

The fund would hold actual Bitcoin while also generating yield through an options strategy.

Here's how it works: the fund sells call options on its IBIT shares. When other investors buy those options, the fund collects the premiums as income. That income gets passed on to shareholders.

The tradeoff?

You give up some potential upside. If Bitcoin rips higher, you won't capture all of the gains.

Why it matters

This is BlackRock going deeper into crypto.

Their spot Bitcoin ETF, IBIT, already dominates the market with over $69.7 billion in assets. It's become one of the firm's top revenue sources.

Now they're adding a product for investors who want exposure to Bitcoin but also want regular income - something Bitcoin itself doesn't offer.

In a way, it brings yield to Bitcoin the same way staking brings yield to Ethereum.

The competition

BlackRock isn't first here. Similar funds already exist.

The NEOS Bitcoin High Income ETF (BTCI) launched in October 2024 and now holds $1.09 billion. Roundhill's YBTC and YieldMax's YBIT are smaller players with $225 million and $74 million respectively.

But there's a catch.

These covered-call funds have underperformed Bitcoin over the past year. BTCI is down about 31%. YBTC has dropped 45%. Bitcoin itself is down just 14% over the same period.

Higher yield, lower returns. That's the tradeoff. (And that’s exactly what some investors are looking for)

What's next

The filing doesn't include a ticker or fee structure yet.

That's normal for early S-1 registrations.

But given BlackRock's track record with IBIT, expect this one to attract attention fast. 🚀

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THE 2026 SUPERCYCLE 🦹

When Changpeng Zhao talks about Bitcoin cycles, people pay attention.

He built the largest crypto exchange in the world and has watched every major cycle from the inside, across spot, derivatives, retail, and institutional flows.

And his latest CNBC interview, CZ pretty much said:

Get ready.

Here’s what he said, verbatim:

“In 2026…I have very strong feelings that you will probably see a super cycle. The super cycle of 2026. Yeah - for Bitcoin.”

CZ

That’s a big statement, especially coming from someone who’s historically been very cautious about timing and price predictions.

CZ’s point lines up with what more insiders are quietly converging on:
this cycle will not look like the old 4-year playbook.

No blow-off top followed by a deep winter.

A “supercycle” doesn’t mean straight lines or no volatility. But it does mean that 2026 will not be the down year everyone expects it to be.

It will surprise to the upside.

When voices like CZ, Cathie Wood, Raoul Pal, Tom Lee, and Matt Hougan all start circling the same conclusion, it’s worth pausing.

2026 isn’t being framed as a down year anymore. It’s now being framed to be the year the old cycle model definitively breaks.

Now, if 2026 is in fact a supercycle, how should you play it?

CZ also answered that on X:

The classic buy & hold.

Sometimes the best thing you can do is nothing at all. 🦹

OUTFLOWS RETURN 📉

Well that didn’t last long…

Last week, digital asset funds saw outflows of $1.73 billion.

That’s the largest weekly outflow total since mid-November 2025.

Let’s break it down.

The outflows were concentrated on Bitcoin last week which saw $1.09 billion exit.

Ethereum followed with $6300 million in outflows.

Whilst Solana bucked the trend with inflows of $17.1 million for the week.

From a regional perspective, the US saw the majority of outflows with $1.8 billion leaving.

Interestingly, Canada, Switzerland and Germany saw inflows of $33.5m, $32.5m and $19.1m respectively.

So why the sudden flip in sentiment?

In our opinion this is likely due to a combination of:

  • No rate cut in January looking likely

  • Negative price momentum

  • And disappointment that digital assets have not participated in the debasement trade yet

As we explained last week, sentiment is still shaky. One bad headline and the flows start to reverse.

CRACKING CRYPTO 🥜

Ambitious developers are biggest risk to Bitcoin, says Michael Saylor. Michael Saylor has said that the greatest risk to Bitcoin is ambitious opportunists advocating protocol changes.

Over 70% of Institutional Investors Say Bitcoin Undervalued. A Coinbase survey found 71% of institutional investors think Bitcoin is undervalued in the $85,000 to $95,000 range, with 80% prepared to hold or buy more on another market dip.

Why This Former BlackRock Executive Thinks Ethereum's TVL Will 10X in 2026. SharpLink CEO Joseph Chalom argues that macro uncertainty is hiding a massive institutional shift toward Ethereum-based tokenization.

Democratic aide: ‘We are all willing to return to the table’ after Senate Ag crypto talks unravel. Negotiations in the Senate Agriculture Committee shifted in the new year, said a Senate Democratic aide with knowledge of the conversations.

WHAT WE’RE READING 📚

Want to get even smarter? Check these out.

p.s. all completely FREE (one click subscribe link)

  • Raremints (link) - Daily crypto news

  • Bitcoin Breakdown (link) - Daily Bitcoin news

  • Techpresso (link) - Daily tech news and insights

  • The Hustle (link) - Get Smarter on Business and Tech

  • Your Next Breakthrough (link) - Personal growth with Mark Manson

  • The Neuron (link) - AI trends and tools to keep you ahead

CAN YOU CRACK THIS NUT? ✍️

Select your answer below and you’ll be redirected to the results page. (answer explanation can be found after “Meme Corner”)

What was the approximate monthly trading volume on OpenSea at its January 2022 peak?

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MEME CORNER 😂

Because what would the crypto world be without its share of memes?

Trivia Answer: $5 billion 🥳

OpenSea hit roughly $5 billion in monthly trading volume in January 2022 during the NFT mania peak. The platform processed over 2 million transactions that month.

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