Delaware Life Insurance Company is partnering with BlackRock to launch the world’s first indexed annuity tied to Bitcoin (BTC). The proposed product would provide retirement investors indirect exposure to the alpha cryptocurrency through a BlackRock index built around its iShares Bitcoin Trust (IBIT) exchange-traded fund.
A fixed indexed annuity (FIA) is a tax-deferred insurance contract designed for long-term retirement savings that offers growth potential tied to a market index, such as the S&P 500, while protecting the investor’s principal from losses. Unlike direct stock market investments, investors are not at risk of losing their principal if the index declines.
BlackRock, Delaware Life Offer Bitcoin Exposure via IBIT ETF
Delaware Life will offer an index that combines U.S stocks with a small, risk-managed bitcoin allocation through BlackRock’s IBIT, meaning investors do not have to hold the digital asset directly. The product also applies volatility controls designed to limit fluctuations to about 12%. The insurer noted that this structure allows policyholders to gain indirect exposure to BTC’s price performance while still preserving their principal under the annuity’s terms.
Under the partnership, the insurer has added the BlackRock U.S. Equity Bitcoin Balanced Risk 12% Index as an option in its portfolio of FIA products, which includes Momentum Growth, Momentum Growth Plus, and DualTrack Income.
Colin Lake said,
“We’re proud to partner with BlackRock as the first insurance carrier to offer cryptocurrency exposure through a fixed index annuity. As the retirement-planning landscape evolves, we’re continuously and thoughtfully innovating to meet the needs of financial professionals and their clients,”
President and CEO of Delaware Life Marketing, in a press release.
FIAs are insurance-based retirement products that protect the investor’s principal amount and offer tax-deferred growth, with returns tied to the performance of a referenced market index rather than direct asset ownership. The principal includes payments made to an insurance company, and in return, the insurer promises to protect that amount against market declines. Though the gains made are linked to an index, the policyholder isn’t directly invested in the market.
This means that returns are typically capped, and if the index being tracked declines, the policyholder’s return for that period would be zero, rather than negative. Bitcoin exposure for Delaware Life Insurance Company policyholders will be indirect, since it’s accessed through an ETF within the index.
The BlackRock U.S. Equity Bitcoin Balanced Risk 12% Index combines U.S. stocks and bitcoin, targeting a 12% volatility, and uses cash adjustments to help offset price swings. The BTC component in the index comes from the iShares Bitcoin Trust ETF, which has amassed $74.5 billion in assets under management within two years of launch.
BlackRock, considered the world’s largest asset manager, launched IBIT in January 2024. The ETF went on to become the largest investment fund offering exposure to BTC’s spot price. In December, the company noted that the fund is ranked among its largest investment themes of 2025.
U.S. Spot Bitcoin ETFs Surge in Demand Among Institutional Players
The company’s Global Head of Digital Assets, Robert Mitchnick, said that the launch of bitcoin-backed FIA is a response to growing investor demand for IBIT and enables insurance policyholders to integrate BTC exposure into a diversified annuity strategy. Since its Wall Street debut, companies have found innovative ways to incorporate spot Bitcoin ETFs.
In July 2025, Jefferies issued the first U.S. structured note tied to a Bitcoin ETF, while Morgan Stanley and JPMorgan have now sold more than $530 million in structured notes linked to IBIT. Last year, Morgan Stanley broadened crypto exposure for its wealth clients, including those with retirement accounts.
Delaware Life isn’t the only insurance company experimenting with bitcoin. In October, Group, an insurer specializing in BTC-based products and backed by investors including OpenAI’s Sam Altman and Gradient Ventures, raised $82 million in a funding round that would be used to support growing demand for bitcoin-denominated retirement and savings products.
Meanwhile, Barbados-based insurer Tabit has adopted bitcoin as a treasury asset. Last March, the company raised $40 million to back traditional U.S. dollar-pegged property and casualty insurance policies, claiming that its entire regulatory reserve was held in the “digital gold.”
At the time of writing, Bitcoin (BTC) is trading at $89,736 – down 1.22% in 24 hours. iShares Bitcoin Trust (NASDAQ: IBIT) closed Tuesday’s trading session at $50.76 – down 1.3% on the day.
