This article was first published on Deythere.
- A First in Insurance: Bitcoin Meets Fixed Indexed Annuities
- How the Bitcoin Linked Annuity Works
- Market Environment and What This Means for Retirement Planning
- Conclusion
- Glossary
- Frequently Asked Questions About Bitcoin Linked Annuity
- How does a Bitcoin annuity differ from simply owning Bitcoin?
- Why is BlackRock’s involvement important?
- Does the annuity ensure Bitcoin exposure earnings?
- Who can use this product?
- How exactly does volatility targeting function in this annuity’s index?
- References
Delaware Life Insurance Company has introduced the first Bitcoin-linked annuity in the United States, adding crypto exposure to an otherwise conservative retirement product.
The new product was announced on January 20, 2026 and includes the BlackRock U.S. Equity Bitcoin Balanced Risk 12% Index in its suite of fixed indexed annuities (FIA).
This index creates a mix of U.S. stocks alongside performance of Bitcoin, providing the potential for gain linked to crypto markets while also keeping intact the annuity’s main characteristic: principal protection.
A First in Insurance: Bitcoin Meets Fixed Indexed Annuities
Delaware Life’s new annuity option is the first time that a U.S. insurance carrier has included a Bitcoin-linked index for its fixed indexed annuity product.
FIAs tend to be attractive investments for those wanting a guaranteed stream of retirement income along with downside protection. Through combining this structure with an index giving exposure to Bitcoin by the iShares Bitcoin Trust ETF (IBIT), using funds held in a defined sub-account, the product enables users to capture part of Bitcoin’s price performance, all while avoiding managing crypto assets, wallets or private keys.
Colin Lake, President and CEO of Delaware Life Marketing, stated that the alliance with BlackRock brings unique investment solutions to financial advisors and their clients.
“We’re proud to partner with BlackRock as the first insurance carrier to offer cryptocurrency exposure through a fixed index annuity,” said Lake, adding that FIAs are adapting to reflect today’s investor interest while retaining core principal protection.
The product is offered on Delaware Life’s Momentum Growth™, Momentum Growth Plus™ and DualTrack Income™ annuities, providing an additional choice for consumers while creating a more flexible financial foundation for long-term financial planning related to retirement.
How the Bitcoin Linked Annuity Works
Rather than buying directly into Bitcoin, the new annuity option is based on the BlackRock U.S. Equity Bitcoin Balanced Risk 12% Index. This index consists of traditional U.S. equities and the iShares Bitcoin Trust ETF (IBIT) owned by BlackRock to act as a vehicle for gaining exposure to Bitcoin price in a more efficient, regulatory manner.
The index also has a 12% volatility cap and it will use dynamic cash allocations to flatten Bitcoin’s steep price swings.
With a mix of equities and Bitcoin exposure, the index seeks to provide a balanced risk approach that provides annuity holders opportunities to benefit from digital asset performance without owning crypto directly.
Robert Mitchnick, Global Head of Digital Assets at BlackRock, said It allows policyholders to have exposure in digital assets while maintaining the downside protection they would expect from annuity products.
This design is intended to tackle common obstacles to crypto investment for traditional portfolios, such as custody of assets, management of private keys, and using the exchange directly in case Bitcoin is held.
Market Environment and What This Means for Retirement Planning
FIA’s have traditionally been sold to conservative, long-term investors who are most interested in preserving their capital.
Through adding Bitcoin exposure through a professionally managed index, Delaware Life is effectively experimenting to see if crypto can find its way into retirement portfolios without sacrificing those conservative objectives.
This development implies that the financial advisors and retail investors who previously steered clear of digital assets on account of heightened volatility or custody issues might be more inclined to look at regulated alternatives with structured exposure.
Annuities are not meant for short-term trading or speculative gains, but a Bitcoin-linked one adds to the toolkit of retirement planners looking for diversification beyond stocks and bonds.
At the time of the announcement from Delaware Life, Bitcoin had been trading around $89,000 based on recent price swings in the market. The trading volume had continued to be strong, suggestive of market participants actively repositioning and engaged.
Conclusion
The launch of the first Bitcoin-linked annuity in collaboration with BlackRock’s IBIT index, by Delaware Life, represents openness towards the integration of digital assets within conventional financial products.
By providing Bitcoin exposure within a fixed indexed annuity including principal protection, the insurer has built what it hopes will be an accessible, regulated lane for retirement-minded investors to access Bitcoin’s performance without the rigors of self-custody and outright price volatility.
The product is a testament of the evolving institutional trust for digital assets and could help clear the path for more crypto-native financial products to come.
Glossary
Bitcoin-Linked Annuity: A Fixed Indexed Annuity with some of the performance linked to a “Bitcoin Index, providing an exposure to Bitcoin valuation movement within a traditional financial product.
Fixed indexed annuity (FIA): A contract issued by an insurance company in which the principal is protected, and returns are determined by reference to a market index rather than investments directly made.
iShares Bitcoin Trust (IBIT): A BlackRock-managed spot Bitcoin ETF that follows the price of Bitcoin in a regulated exchange-traded product.
Volatility cap: A risk-management measure in an index intended to restrict exposure of price fluctuation to a target percent.
Principal protection: A provision in some financial products that promises to return the original purchase price except for any performance-based gains.
Frequently Asked Questions About Bitcoin Linked Annuity
How does a Bitcoin annuity differ from simply owning Bitcoin?
By contrast, a Bitcoin linked annuity offers exposure to the price of Bitcoin via a regulated index without investor needing to manage wallets, private keys or having to use crypto exchanges. It maintains the principal protection of an annuity, with the ability to participate in the performance of Bitcoin.
Why is BlackRock’s involvement important?
BlackRock’s IBIT ETF also provides regulated, liquid access to Bitcoin. Its incorporation within the annuity’s index permits regular financial products to tap into crypto price returns without having to navigate direct ownership.
Does the annuity ensure Bitcoin exposure earnings?
No. And it does not guarantee earnings from Bitcoin; its performance is predicated on how the index which combines Bitcoin and stocks performs.
Who can use this product?
Retirement planners, financial professionals and long-term investors who desire diversified exposure to digital assets in a secure structure might find this product appealing.
How exactly does volatility targeting function in this annuity’s index?
By making allocations more dynamic, the index aims to reduce volatility to about 12%, a way to minimize the impact of price swings in crypto while still providing investors with exposure to Bitcoin.
References
Business Wire
The Crypto Times
CryptoRank
Value The Markets
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