In the latest cryptocurrency developments, representatives from BlackRock and Nasdaq have engaged in discussions with the U.S. Securities and Exchange Commission (SEC) regarding proposed regulations for the potential listing of a Spot Bitcoin Exchange-Traded Fund (ETF).
As per an SEC memo dated November 20, BlackRock presented on how the company could employ a redemption model, either in goods or cash, for their iShares Bitcoin Trust. Currently, the official response from SEC officials to the two proposed models remains uncertain, and it is unclear whether they plan to approve a Spot Bitcoin ETF, given the history of delays and rejections.
Several reports suggest that the SEC might be approaching a decision on the listing of a Spot Bitcoin ETF in the U.S. market. Approval would signify a significant positive step towards the mainstream adoption of cryptocurrency. On November 20, SEC officials also met with representatives from Grayscale concerning the company’s efforts to list a Bitcoin ETF.
BlackRock is among many companies with Spot crypto ETF applications awaiting a response from the SEC, including Fidelity, WisdomTree, Invesco Galaxy, Valkyrie, VanEck, and Bitwise. The asset management company initially applied for the listing of a Spot Bitcoin ETF in June on the Nasdaq stock exchange.
In October, a video from 2019 featuring SEC Chairman Gary Gensler resurfaced, where he criticized the “inconsistent” approach of the commission towards Spot Bitcoin products. It remains uncertain whether Chairman Gensler will support efforts for crypto-related investment products, but the commission has previously approved ETFs related to Bitcoin and Ether futures.
These developments prompt global attention to observe the progression of regulations and acceptance of Bitcoin-related products within the U.S. financial market.
