Bitcoin (BTC), the world’s leading cryptocurrency, experienced a remarkable surge in price following the news of BlackRock’s resubmission of its application for a Bitcoin spot market exchange-traded fund (ETF).
Quick facts:
- BlackRock resubmits Bitcoin ETF application, sparking Bitcoin price surge.
- The revised proposal includes a surveillance agreement with Coinbase to address regulatory concerns.
- The industry follows suit as Cboe modifies spot ETF application after BlackRock’s move.
- A potential approval of Bitcoin spot ETF would mark a significant milestone in crypto adoption.
BlackRock, the world’s largest asset manager, has refiled its application for a Bitcoin spot market ETF after the Securities and Exchange Commission (SEC) raised concerns about its initial filing. The revised application aims to address the SEC’s objections and pave the way for the first-ever approval of a Bitcoin spot ETF.
Nasdaq Refiles Revised Blackrock’s BTC ETF
The giant asset manager, through a fresh filing submitted by the Nasdaq exchange, is seeking approval for a Bitcoin spot market ETF, which would allow investors to gain exposure to Bitcoin without directly owning the digital asset.
The revised filing includes a surveillance agreement with Coinbase, a prominent cryptocurrency exchange, addressing one of the main objections raised by the SEC in the past.
The filing comes after the SEC expressed concerns about its initial application for a Bitcoin spot ETF, citing potential flaws.
By reapplying with an amended proposal and addressing the regulatory concerns, BlackRock aims to overcome the obstacles that have hindered the approval of Bitcoin spot ETFs in the past. The move also demonstrates BlackRock’s confidence in the long-term potential of Bitcoin as a valuable investment asset.
Bitcoin (BTC)Reacts
The news of BlackRock’s efforts to launch a Bitcoin spot ETF broke on June 15, triggering a surge in Bitcoin prices, which have risen by approximately 20% to date. The market response indicates the positive sentiment surrounding the potential approval of a Bitcoin spot ETF.
BTC/USDT Price Chart: Trading View
Today, the price of Bitcoin is $31,023.22 with a 24-hour trading volume of $12,414,148,566.53.
BlackRock’s revised filing includes a surveillance-sharing agreement with Coinbase. This bilateral agreement between Nasdaq and Coinbase is aimed at supplementing the exchange’s market surveillance program.
By partnering with Coinbase, BlackRock intends to address the SEC’s concerns about monitoring and market manipulation, which have been key factors in the regulatory scrutiny of Bitcoin spot ETF proposals.
The filing by BlackRock, a major player in the financial industry with assets under management totaling $9.5 trillion in the first quarter of 2023, has generated significant market enthusiasm.
Despite the SEC’s previous findings of inadequacy in the initial application, investors remain bullish on the prospects of a Bitcoin spot ETF.
The filing has also spurred other firms, including exchange operator Cboe on behalf of Fidelity, to modify their own spot ETF applications, indicating the ripple effect of BlackRock’s move across the industry.
The establishment of a Bitcoin spot ETF has been a challenging task, with the SEC expressing concerns about potential fraud or manipulation in the spot market. While the SEC has approved Bitcoin ETFs for futures trading, no spot ETF has received regulatory approval to date.
BlackRock’s revised application and its collaboration with Coinbase signify the increasing recognition of Bitcoin as a legitimate investment asset and highlight the efforts to establish regulatory frameworks for digital assets.
