The U.S. Securities and Exchange Commission (SEC) is reportedly acknowledging BlackRock’s application for a spot Bitcoin (BTC) exchange-traded fund (ETF).
According to Bloomberg research analyst James Seyffart, the regulatory agency is recognizing the spot BTC ETF applications of BlackRock and other prominent financial firms, kicking off a review process.
“UPDATE: there they are – SEC just acknowledged the Bitcoin ETF applications for BlackRock, VanEck, Invesco US, Fidelity and WisdomTree. We’re off to the races. Keep in mind ARK Invest/21Shares already beyond this point. Bitwise (Asset Management) was yesterday.”
A spot Bitcoin ETF would give investors exposure to the crypto asset through a brokerage firm, much like commodities such as gold.
Seyffart goes on to say that he believes the SEC will either approve or deny BlackRock’s request by March of next year. The analyst also notes that the bids of ARK Invest and 21Shares will likely be decided by early January.
“SEC will either approve or deny by mid-March 2024. Though it’s likely we’ll know the answer officially or unofficially via the decision for Ark/21Shares’ application which is due by early January.”
According to Bloomberg ETF analyst Eric Balchunas, however, the SEC acknowledging the bids is likely just procedural and doubtful to change the chances of them being approved.
“The clock has been started officially. Although none of this changes our odds as it is just procedural. That said it could be looked at as good news for ARK though that these were [acknowledged] in order of filing date vs. [acknowledged] all with the same date.”
Last month, the SEC said that BlackRock’s bid for a BTC ETF was “unclear and incomprehensive” despite many believing the application would appease the regulatory body.