BlackRock (BLK.N), the world’s largest asset management, filed for a bitcoin ETF amid increased regulatory scrutiny.
BlackRock’s iShares Bitcoin Trust will use Coinbase Custody, per SEC filing. The U.S. regulator rejected spot bitcoin ETF applications.
BlackRock created a U.S. institutional spot Bitcoin private trust last year.
The U.S. securities regulator probes cryptocurrency crimes worldwide.
Last month, the agency sued Coinbase and Binance.
“The fact that BlackRock, a well-respected and established asset management company, has filed for a Bitcoin ETF could be seen as a positive development in the quest for regulatory approval,” said Joshua Chu, group chief risk officer of blockchain technology group XBE, collectibles, and Marvion.
“It also shows public crypto interest’s resilience.” Spot bitcoin ETFs follow bitcoin’s price. Proponents believe an ETF would provide investors with bitcoin exposure without buying it.
The SEC rejected Grayscale Investment LLC’s ETF application for its flagship spot Grayscale Bitcoin Trust (GBTC.PK), last year.
Grayscale sued the SEC for arbitrarily rejecting spot bitcoin ETF applications after allowing futures ETFs. SEC rejected spot bitcoin ETF designs from Fidelity, Cboe Global Markets, and NYDIG.
Bitcoin climbed 2% Thursday after the announcement. $25,506 last Friday. The largest cryptocurrency surged 54% this year. Today, CoinDesk published BlackRock’s ETF plans.