The Delisting and Relisting of BlackRock’s iShares Bitcoin Trust ETF Sparks Controversy
The recent delisting and subsequent relisting of BlackRock’s iShares Bitcoin Trust exchange-traded fund (ETF) by the Depository Trust and Clearing Corporation (DTCC) has caused a stir in the cryptocurrency market. The sudden removal of the ETF from the DTCC’s listings on Tuesday, coupled with the temporary unavailability of the DTCC website, led to a significant drop in Bitcoin’s price. However, after being relisted, Bitcoin has resumed its bullish trajectory, trading at $34,600 to reclaim the $35,000 level.
BlackRock’s Proposed iShares Bitcoin Trust Abruptly Removed from DTCC Listings
BlackRock’s proposed iShares Bitcoin Trust was added to the DTCC’s reference database on Monday with the IBTC ticker symbol. However, without any explanation, IBTC was abruptly removed from the DTCC’s listings on Tuesday. This unexpected development caused Bitcoin’s price to experience a volatile swing. The DTCC website was also temporarily inaccessible during this period but is now functioning normally. According to a DL news report, an insider revealed that DTCC’s delisting of BlackRock’s iShares Bitcoin Trust ETF was “intentional” in order to conduct further research due to the significant attention it was receiving.
Uncertainty Surrounds Delisting Decision
The details of the investigation, its implications, and who made the decision remain unclear. The DTCC declined to comment on the circumstances surrounding the temporary delisting but emphasized that appearing on the list does not indicate regulatory approval. The clearinghouse stated that BlackRock’s pending ETF was added to the list in August as a potential transaction subject to SEC approval.
Bitcoin’s Rollercoaster Ride
The market sentiment surrounding potential Bitcoin spot ETF approvals is highly volatile. On October 16, BTC experienced a sharp 10% surge following an erroneous report suggesting that the SEC had approved BlackRock’s ETF application. The recent delisting and relisting of BlackRock’s iShares Bitcoin Trust ETF have sparked controversy and caused market turmoil. As the price of Bitcoin continues to rise, market participants will closely monitor developments regarding the ETF’s regulatory journey and its potential implications for the wider cryptocurrency market.
Hot Take: Delisting and Relisting Raises Questions About Motivations
The intentional delisting of BlackRock’s iShares Bitcoin Trust ETF by the DTCC has raised questions about the motivations behind the decision. While specific details are unclear, it is important to note that appearing on the DTCC list does not guarantee regulatory approval. As Bitcoin continues its upward trajectory, it is crucial to closely follow updates on the ETF’s regulatory journey and how it may impact the cryptocurrency market as a whole.
Featured image from Shutterstock, chart from TradingView.com
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