Blackrock, the world’s largest asset manager, is seeking approval from the U.S. Securities and Exchange Commission (SEC) to offer spot Bitcoin exchange-traded fund (ETF) options. The SEC has opened a comment period on proposed rule changes filed by Nasdaq to list and trade options on Blackrock’s spot Bitcoin ETF. Blackrock’s Ishares Bitcoin Trust has accumulated 28,622 bitcoins since launch.
SEC Opens Comment Period on Ishares Bitcoin Trust Options Trading
Blackrock, the world’s largest asset manager, is planning to offer options on Ishares Bitcoin Trust (IBIT), a spot Bitcoin exchange-traded fund (ETF).
Nasdaq, which lists and trades IBIT, filed a proposed rule change (Form 19b-4) with the U.S. Securities and Exchange Commission (SEC) on Friday to list and trade options on IBIT. Nasdaq explained in an SEC filing:
By offering an option on the Trust (IBIT), the exchange provides investors with a relatively inexpensive additional investment tool to gain exposure to spot Bitcoin, as well as a hedging vehicle to meet their investment needs related to Bitcoin products. I believe it will be beneficial to you. location.
Bloomberg analyst James Seyffart I left a comment.: “The SEC has already recognized Section 19b-4 requiring the ability to trade spot Bitcoin ETF options. This is faster than the SEC typically moves.” The analyst said: “If the SEC wants to move quickly, can the option be approved before the end of February?… At the earliest, the option is still more than 27 days away.”
Following Nasdaq’s filing, the SEC has opened a comment period on proposed rule changes for listing and trading options on the Ishares Bitcoin Trust. The comment period will last 21 days after publication in the Federal Register.
Since its launch on January 11, Blackrock’s Ishares Bitcoin Trust has amassed 28,622 bitcoins, with a market value of $1.199 billion as of January 18.
The spot Bitcoin ETF has seen strong trading volume since its launch on January 11th. Bloomberg ETF analyst Eric Balchunas detailed Nine spot Bitcoin ETFs “saw another increase in volume” on Friday. This is a 12% increase from Thursday and a 53% increase from Wednesday. He called it a “rare phenomenon.” The analyst added that Fidelity Wise Origin Bitcoin Fund (FBTC) and Blackrock’s IBIT are “in a legal duel to be The One.” Nonetheless, he emphasized that “they are all recording huge numbers for beginners, and the competition is making it twice as hard for everyone.”
The SEC approved 11 spot Bitcoin ETFs on January 10th. In addition to Grayscale’s Bitcoin ETF, which converted from the Grayscale Bitcoin Trust (GBTC), Blackrock’s IBIT leads in terms of overall trading volume, followed closely by Fidelity’s FBTC. Grayscale’s Bitcoin ETF has seen significant Bitcoin outflows. Since January 12, the trust has seen a cumulative outflow of 50,106.59 BTC, worth over $2 billion. According to Balchunas, Blackrock’s spot Bitcoin ETF is Top 15 of all ETFs Top 2% by asset, top 2% by daily trading volume.
What do you think about Blackrock wanting to offer an option on a spot Bitcoin ETF? Let us know in the comments section below.
Source: Bitcoin.com