BlackRock’s Bitcoin ETF Still Under Review by SEC Amid Approval Rumors
BlackRock has confirmed that its application for a spot bitcoin ETF is still under review by the Securities and Exchange Commission (SEC). This announcement comes after rumors circulated on social media that the fund had been approved, causing the price of Bitcoin to surge towards $30,000. However, the cryptocurrency has since declined and is currently trading at $28,003.
The SEC has not yet approved a spot bitcoin ETF in the U.S. and did not immediately respond to requests for comment. Last month, the regulator announced additional proceedings to determine whether proposed spot bitcoin ETFs from BlackRock and other major companies should be approved or disapproved.
Approval Rumors Followed SEC’s Decision Regarding Grayscale Case
The rumors regarding BlackRock’s ETF approval came shortly after the SEC stated that it would not appeal an August court ruling concerning Grayscale Investments’ bid to convert its GBTC fund into a spot bitcoin ETF. However, it is important to note that this decision does not guarantee approval for other ETFs.
While the cryptocurrency industry eagerly awaits the approval of a spot bitcoin ETF, it is crucial to understand that several factors must align before one can enter the market.
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BlackRock said Monday that its application for a spot bitcoin ETF was still under review by the Securities and Exchange Commission as the price of the world’s largest crypto currency surged after rumors on social media that the fund had been approved.
A BlackRock spokesperson confirmed with The Block that the iShares Bitcoin application is still under review by the regulator. The SEC has not yet approved of a spot bitcoin ETF in the U.S.
Bitcoin had surged toward $30,000 immediately after posts on X suggested the fund had been approved early Monday morning in the U.S. It’s since declined from that peak and is currently trading at $28,003, according to CoinGecko.
The SEC did not immediately respond to a request for comment from The Block. The regulator last month said it was instituting additional proceedings to determine whether proposed spot bitcoin ETFs from big names including BlackRock, Invesco, Valkyrie and Fidelity should be approved or disapproved, in an apparent additional delay to the ongoing review processes that could last at least another month.
Approval rumors followed SEC’s decision to not appeal Grayscale case
The Monday rumors came days after the SEC said it did not plan to appeal an August court ruling that ordered it to reconsider a bid from Grayscale Investments to convert its flagship GBTC fund into a spot bitcoin ETF.
Though the industry is waiting on pins and needles for approval of the first spot bitcoin ETF, a number of things would still need to happen before one hits the market. The SEC’s decision not to appeal the Grayscale case doesn’t automatically mean that the regulator plans to approve one.
(Updates with additional details throughout.)
Hot Take: BlackRock’s Bitcoin ETF Application Remains Under Review by SEC Amid Approval Speculation
BlackRock’s application for a spot bitcoin ETF is still being reviewed by the Securities and Exchange Commission (SEC). Despite rumors circulating on social media that the fund had been approved, the SEC has not yet granted approval for a spot bitcoin ETF in the U.S. This news caused Bitcoin’s price to surge briefly before declining.
The rumors followed the SEC’s decision not to appeal an August court ruling regarding Grayscale Investments’ bid for a spot bitcoin ETF. However, it’s important to note that this decision does not guarantee approval for other ETFs. While the industry eagerly anticipates the first spot bitcoin ETF, there are still several steps and considerations before it can enter the market.
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