BlackRock Approaches SEC To Get Bitcoin ETF Approval
JAKARTA - BlackRock, the world's largest asset management company, has the opportunity to get approval from the US Securities and Exchange Commission (SEC) to launch a Bitcoin exchange-trained fund (ETF).
Recently, BlackRock reportedly held a meeting with the SEC. This is the fifth meeting to specifically discuss Bitcoin-based investment products, the Bitcoin Spot ETF.
The meeting which took place on Tuesday 19 December discussed "iShares Bitcoin Trust under the NASDAQ Rules 57119(d)", which is a Bitcoin ETF proposal submitted by BlackRock. Unfortunately, SEC chairman Gary Gensler was not present at the meeting.
BlackRock also proposed a new amendment stating that its Bitcoin ETF will use a cash approach, namely only accept cash and use it to buy Bitcoin directly. This is different from future-based Bitcoin ETF, which uses a derivative contract to track the price of Bitcoin.
Additional information, Bitcoin ETF is an investment product that allows investors to buy and sell shares representing a number of Bitcoins. Bitcoin ETF can be traded on traditional stock exchanges, such as other stocks, making it easier and more accessible to retail investors.
SEE ALSO:
BlackRock is one of several companies that submitted a Bitcoin ETF application to the SEC, but no one has received approval to date. The SEC has postponed all decisions on Bitcoin ETF on the grounds of the need for investor protection and market manipulation prevention.
However, many crypto market players hope that the SEC will grant Bitcoin ETF approval early next year, especially after positive comments from SEC Chairman Gary Gensler. Gensler, who is considered a controversial figure, said he was open to reviewing Bitcoin ETFs and supporting innovation in the field of digital assets.
If Bitcoin's ETF is approved, it will be a milestone for the crypto industry, as it will increase Bitcoin's adoption, liquidity and legitimacy as an investment asset. It can also have a positive impact on the price of Bitcoin, which is currently in the range of USD 48,000, up about 80% since the start of the year.