Key takeaways:
- The US Securities and Exchange Commission (SEC) met with representatives from BlackRock and Nasdaq.
- After multiple delays and denials, it is unclear how SEC officials felt about the two proposed models or whether they still plan to approve a spot BTC ETF.
The US Securities and Exchange Commission (SEC) met with representatives from BlackRock and Nasdaq to discuss the proposed regulation that would permit listing a spot Bitcoin Exchange Traded Fund, or ETF.
BlackRock gave a presentation outlining how the company may employ an in-kind or in-cash redemption strategy for its iShares Bitcoin Trust, according to an SEC memo dated November 20.
After multiple delays and denials, it is unclear how SEC officials felt about the two proposed models or whether they still plan to approve a spot BTC ETF.
According to a number of sources, the SEC may be getting close to deciding which spot Bitcoin exchange fund will list on US markets. If accepted, it would be among the most significant encouraging developments for the adoption of cryptocurrencies by the general public.
In relation to Grayscale’s application to establish a Bitcoin ETF, SEC representatives also had a meeting with the company on November 20.
BlackRock is just one company, along with Fidelity, WisdomTree, Invesco Galaxy, Valkyrie, VanEck, and Bitwise, whose spot Bitcoin ETF applications are in the SEC queue and awaiting a response. On the Nasdaq stock exchange, the asset management company initially requested the establishment of a spot Bitcoin ETF in June.
In October, a 2019 video featuring SEC Chair Gary Gensler criticizing the commission’s “inconsistent” approach to identifying Bitcoin products came to light. The SEC has already approved ETFs related to Bitcoin and Ether futures, but it is uncertain if the chair will support attempts for crypto-linked investment vehicles.
Grayscale is not giving up on bringing its spot Bitcoin ETF back to the market. Grayscale recently disclosed a Transfer Agency Agreement for the ETF with BNY Mellon during discussions with the SEC. Grayscale also unveiled the creation of a transfer agency and service contract with BNY Mellon.
