BlackRock Advances in Crypto Space with Ethereum Trust; Bitcoin Peaks Amid Optimism Over Spot ETF Approvals
Summary:
BlackRock, a leading asset manager, initiates its Ethereum trust in Delaware, indicating broader forays into crypto, following its June registration of a Bitcoin trust. The move propels Ether's value past $2,000 for the first time in months. Also, Bitcoin momentarily surpasses the $37,000 mark due to the market's optimism about the approval of multiple spot Bitcoin exchange-traded funds in the U.S. The SEC enters a short window to potentially greenlight 12 separate applications. However, delays are anticipated before the actual launch of these offerings.
BlackRock, an asset management giant, has initiated the process for launching an Ether (ETH) ETF by registering an Ethereum trust in Delaware. The trust, named iShares Ethereum Trust, has BlackRock managing director Daniel Schweiger registered as its agent. Following the news, Ether's value jumped, breaking $2,000 for the first time since April.
This move indicates BlackRock's growing involvement in the cryptocurrency sector, building upon its registration of a Bitcoin (BTC) trust back in June. Following this, the firm made a filing with the U.S. Securities and Exchange Commission (SEC) for a spot Bitcoin ETF.
The market also saw Bitcoin temporarily crest the $37,000 value, marking an 18-month high, as expectation surrounding the forthcoming verdict on spot BTC ETFs in the U.S grows. This fleeting boost in Bitcoin value is being credited to the SEC's potential approval of 12 distinct spot Bitcoin ETFs in the coming week.
Analysts from Bloomberg, James Seyffart and Eric Balchunas, highlighted that the SEC will be entering a period ending Nov. 17 during which it could approve multiple offerings from reputable U.S. fund managers. However, both caution that the actual launch of these offerings may experience delays of potentially a month or longer.
Further explaining, they noted that the SEC may greenlight all 12 pending spot Bitcoin ETF applications within an eight-day duration. The window of approval comes after Nov. 8, when the comment period for several pending filings concluded. Beyond Nov. 17, three filings, specifically the Global X Bitcoin Trust, Hashdex Bitcoin ETF and Franklin Bitcoin ETF, will enter a new comment period, likely leading to an approval or rejection only after Nov. 23.
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Published At
11/9/2023 8:01:14 PM
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