BlackRock Seeks Approval for a Spot Bitcoin ETF in the US

Exchanges

BlackRock, the world’s largest fund manager, filed for a spot Bitcoin exchange-traded fund (ETF) yesterday (Thursday). The filing came as the Securities and Exchange Commission (SEC) filed lawsuits against Coinbase and Binance, two major crypto exchange brands.

The permission for the spot Bitcoin ETF is requested by BlackRock’s iShares unit. The ETF, which will be named iShares Bitcoin Trust, will use the custody services offered by crypto exchange Coinbase.

“The Bitcoin Custodian is responsible for keeping the Bitcoin owned by the Trust safe. The Bitcoin Custodian is appointed by the Trustee,” the filing with the SEC said.

According to the official filing, BlackRock will use CME CF Bitcoin Reference Rate to track Bitcoin prices. CF Benchmarks, a subsidiary of the crypto exchange Kraken, takes price data from reputable cryptocurrency exchanges around the world.

“The stock is designed to remove the hurdles represented by the complexity and operational burden associated with a direct investment in Bitcoin,” Blackrock stated in the SEC filing.

The Spot Bitcoin ETFs Rejected by the SEC

Several other cryptocurrency and traditional finance companies, including Grayscale, VanEck, and WisdomTree, have filed for SEC approval for a spot Bitcoin ETF. However, despite repeated requests, the US securities regulator is hesitant to approve one.

However, a few futures-based Bitcoin ETFs are listed on US exchanges.

BlackRock’s entry to seek approval for a spot Bitcoin ETF may change regulatory attitudes towards the crypto investment vehicle. BlackRock is the largest asset manager in the world, managing more than $10 trillion in assets under management (AUM).

BlackRock’s interest in Bitcoin is not new. The company launched a spot Bitcoin private trust for institutional clients in the United States last year. If its spot Bitcoin ETF is now approved, it will open up and facilitate Bitcoin investment to mainstream retail investors.

BlackRock, the world’s largest fund manager, filed for a spot Bitcoin exchange-traded fund (ETF) yesterday (Thursday). The filing came as the Securities and Exchange Commission (SEC) filed lawsuits against Coinbase and Binance, two major crypto exchange brands.

The permission for the spot Bitcoin ETF is requested by BlackRock’s iShares unit. The ETF, which will be named iShares Bitcoin Trust, will use the custody services offered by crypto exchange Coinbase.

“The Bitcoin Custodian is responsible for keeping the Bitcoin owned by the Trust safe. The Bitcoin Custodian is appointed by the Trustee,” the filing with the SEC said.

According to the official filing, BlackRock will use CME CF Bitcoin Reference Rate to track Bitcoin prices. CF Benchmarks, a subsidiary of the crypto exchange Kraken, takes price data from reputable cryptocurrency exchanges around the world.

“The stock is designed to remove the hurdles represented by the complexity and operational burden associated with a direct investment in Bitcoin,” Blackrock stated in the SEC filing.

The Spot Bitcoin ETFs Rejected by the SEC

Several other cryptocurrency and traditional finance companies, including Grayscale, VanEck, and WisdomTree, have filed for SEC approval for a spot Bitcoin ETF. However, despite repeated requests, the US securities regulator is hesitant to approve one.

However, a few futures-based Bitcoin ETFs are listed on US exchanges.

BlackRock’s entry to seek approval for a spot Bitcoin ETF could change regulatory attitudes towards the crypto investment vehicle. BlackRock is the largest asset manager in the world, managing more than $10 trillion in assets under management (AUM).

BlackRock’s interest in Bitcoin is not new. The company launched a spot Bitcoin private trust for institutional clients in the United States last year. If its spot Bitcoin ETF is now approved, it will open up and facilitate Bitcoin investment for mainstream retail investors.


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