BlackRock Prepares to Launch Spot Bitcoin ETF
BlackRock, the world’s largest asset manager, is moving forward with its plan to launch a Spot Bitcoin ETF, pending approval from the SEC. The company has already seeded the fund in October, according to an amendment filed with the SEC. The seeding fee was a relatively small amount of $100,000. This move by BlackRock shouldn’t come as a surprise, as the company had previously announced its intention to seed the BTC ETF. Seeding involves providing initial funding to purchase creation units and create shares for trading on the first day of launch.
Potential Approval Window in January
Analyst James Seyffart suggests that there is a potential approval window for Spot Bitcoin ETFs between January 5 and 10. The SEC has been meeting with various filers to address concerns and make amendments to their prospectuses. BlackRock is not the only asset manager to file an amended prospectus; Bitwise has also done so. It is expected that other filers will follow suit this week. However, approval does not guarantee an immediate launch, as there are still two paths that need to be cleared: 19b-4 approval in January and sign-off from the SEC’s Division of Corporation Finance.
Hot Take: BlackRock’s Move Signals Progress Towards Bitcoin ETF Approval
The fact that BlackRock has already seeded its Spot Bitcoin ETF is a significant development in the ongoing efforts to launch a Bitcoin ETF in the United States. This move demonstrates BlackRock’s commitment to entering the cryptocurrency market and signals progress towards regulatory approval. With other asset managers also making amendments to their prospectuses, it seems that momentum is building for the approval of these ETFs. While launch timelines may still be uncertain, it is clear that institutional interest in Bitcoin continues to grow, and the path to mainstream adoption is becoming more defined.
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