BlackRock May Be Planning to Launch an Ethereum ETF
Rumors are circulating that BlackRock, the world’s largest asset manager, is preparing to launch a spot Ethereum (ETH) ETF. This speculation comes on the heels of growing confidence that its spot Bitcoin (BTC) ETF application is likely to be approved. The price of ETH has surged 8% in response to this news, reaching $2,020.
New Registration Suggests BlackRock’s Interest in Ethereum ETF
A Twitter user named @SummersThings discovered that BlackRock registered a corporation called the “iShares Ethereum Trust” in Delaware. This name is similar to its iShares Bitcoin Trust, which is currently under regulatory review. The registration of the iShares Bitcoin Trust was followed by an official filing for a Bitcoin ETF in June, suggesting that a similar move may be imminent for the Ethereum Trust.
The June filing for the Bitcoin ETF caused the price of BTC to soar to $30,000 and inspired other asset managers like Fidelity and Franklin Templeton to pursue similar applications.
Competition in the Ethereum ETF Market
BlackRock is not the first player in the Ethereum ETF race. Other companies such as VanEck, Ark/21Shares, and Galaxy/Invesco have already filed for similar products. Grayscale is also attempting to convert its Ethereum Trust, which holds over $5 billion in ETH, into a spot ETF.
While Ethereum futures ETFs have recently entered the U.S. market, their trading volume has been lackluster. However, despite no spot crypto ETFs being approved by the SEC so far, analysts predict that a spot Bitcoin ETF has a 90% chance of approval by early January.
Market Reaction
The news of BlackRock’s new registration caused both ETH and BTC prices to surge on Thursday. Bloomberg ETF analysts believe that someone may have received early information about this development and profited from it.
Hot Take: Market Speculation on BlackRock’s Move
The rumors surrounding BlackRock’s potential launch of an Ethereum ETF have sparked significant market speculation and excitement among investors. If these rumors materialize into concrete actions from BlackRock, it could further legitimize cryptocurrencies as viable investment options for traditional financial institutions and retail investors alike.
Owen Patter is a distinguished crypto analyst, accomplished researcher, and skilled editor, leaving a notable imprint on the cryptocurrency landscape. As a proficient crypto analyst and researcher, Owen delves into the intricate realms of digital assets, offering insights that resonate with a diverse audience. His analytical acuity is harmoniously paired with adept editorial skills, allowing him to transform complex crypto information into easily comprehensible content. Owen’s contributions serve as a valuable guide for both seasoned enthusiasts and newcomers, aiding them in navigating the dynamic world of cryptocurrencies with well-researched perspectives. With a meticulous commitment to precision, he empowers informed decision-making in the ever-evolving crypto domain.
