The iShares spot Bitcoin exchange-traded fund (ETF), which was proposed by investment firm BlackRock, has been listed on the Depository Trust & Clearing Corporation (DTCC), suggesting the potential approval of the United States Securities and Exchange Commission (SEC).
According to Bloomberg ETF analyst Eric Balchunas, the DTCC listing is an important step in the process of bringing a crypto ETF to the market. The iShares spot Bitcoin (BTC) ETF has a ticker symbol of IBTC and could be listed on the Nasdaq stock exchange. BlackRock had applied to list and trade shares of the ETF in June.
Balchunas noted that this is the first spot ETF listed on the DTCC, and it is significant that BlackRock is leading the charge on these logistics, such as seeding, ticker, and DTCC. He believes that this indicates that BlackRock has received a signal that the approval of the ETF is certain or imminent.
Speculating further, Balchunas suggested that BlackRock may have already received the green light for listing the ETF from the SEC or was preparing everything assuming approval. The SEC has until January 10, 2024, to reach a final decision on the ETF’s approval or denial, based on the date of BlackRock’s application.
If BlackRock’s application is approved, it could pave the way for other spot crypto ETF filings that are currently under review by the SEC, including ones from ARK Investment, Fidelity, and Valkyrie. So far, the SEC has not approved a spot Bitcoin or Ether (ETH) application for listing on a U.S. exchange. However, the commission started allowing investment vehicles tied to Bitcoin futures in October 2021.
The listing of the iShares spot Bitcoin ETF comes after a U.S. appellate court issued a mandate that requires the SEC to review a spot BTC ETF application from Grayscale Investments. Grayscale submitted a registration statement for listing shares of its Bitcoin trust on the New York Stock Exchange Arca under the ticker symbol GBTC on October 19.
It is important to note that updates have been made to the listing status of the iShares spot Bitcoin ETF on the DTCC. Initially, the ETF was removed from the DTCC list but has since been restored.
In conclusion, the listing of the iShares spot Bitcoin ETF on the DTCC signifies progress towards the approval of a crypto ETF by the SEC. If approved, it could have significant implications for the cryptocurrency market and potentially open the floodgates for other spot crypto ETF filings. Investors and market participants will be closely monitoring the SEC’s decision on BlackRock’s application and its potential impact on the industry.