Bitcoin

BlackRock Spot Bitcoin ETF Revised 4th Aims To Accelerate Launch

Key Points:

BlackRock signals crypto market entry with a fourth amendment to its spot Bitcoin ETF.
To boost BlackRock spot Bitcoin ETF approval, the company allows cash redemptions.
Hashdex adds momentum by submitting a revised Bitcoin spot ETF application with BitGo as custodian.

In a strategic move, BlackRock has submitted its fourth amendment to the BlackRock spot Bitcoin ETF with the U.S. Securities and Exchange Commission (SEC), indicating a proactive approach in the crypto market.

BlackRock Spot Bitcoin ETF Filing Signals Crypto Market Entry

ETF analyst James Seyffart from Bloomberg revealed that BlackRock plans significant actions on January 3, allocating an initial investment of $10 million to seed the ETF.

To enhance its chances of SEC approval, BlackRock has updated its proposed filing to permit cash redemptions. This modification aligns with the company’s efforts to navigate regulatory requirements successfully.

A recent meeting involving representatives from BlackRock, Nasdaq, and the SEC emphasized discussions on rule changes necessary for listing the BlackRock spot Bitcoin ETF. The meeting marked the second gathering within a month, underscoring the industry’s collaborative efforts to streamline the regulatory path.

Notably, BlackRock had initially applied for the iShares Blockchain and Tech ETF last month, proposing an in-kind redemption model. Simultaneously, Hashdex entered the scene by submitting a revised Bitcoin spot ETF application to the SEC on December 23. In this update, BitGo was confirmed as the custodian of the spot ETF assets, adding further credibility to the proposal.

The momentum in ETF developments extends beyond BlackRock and Hashdex, with notable meetings between the SEC Trading and Markets Division, Corporate Finance Division, and industry leaders Grayscale, Fidelity, and VanEck on December 2.

These discussions have fueled a surge in spot Bitcoin and Ether ETF filings, injecting renewed optimism into the crypto market after a series of setbacks in 2022. The concerted efforts by major financial players signal a growing acceptance and integration of cryptocurrency within traditional financial structures.

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Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.