In a recent development, the iShares spot Bitcoin exchange-traded fund (ETF) proposed by the investment giant BlackRock has found its way onto the Depository Trust & Clearing Corporation (DTCC), a significant move that suggests a step closer to approval from the United States Securities and Exchange Commission (SEC).
Eric Balchunas, a Bloomberg ETF analyst, shared his insights on this development in a Twitter thread on October 23. He characterized the DTCC listing as a crucial step in the process of bringing a crypto ETF to market. The iShares spot Bitcoin ETF, which goes by the ticker symbol IBTC, has its sights set on listing on the Nasdaq stock exchange. Back in June, Nasdaq applied to list and trade shares of this investment vehicle.
Balchunas highlighted the uniqueness of the situation, stating, “This is the first spot ETF listed on DTCC, none of the others are on there (yet). It’s definitely notable that BlackRock is leading the charge on these logistics (seeding, ticker, DTCC) that usually happen just before a launch. It’s hard not to see this as a signal that approval is certain or imminent.”
Speculation arose that BlackRock might have already received the green light from the SEC for listing the ETF or was actively preparing for it. Based on the timeline of BlackRock’s application, the SEC has until January 10, 2024, to make a final decision regarding the approval or denial of the ETF.
If BlackRock’s application receives approval, it could potentially pave the way for several other spot crypto ETF filings currently under review by the SEC, including those from ARK Investment, Fidelity, and Valkyrie. Up until now, the SEC has not given the green light to any spot Bitcoin or Ether applications for listing on a U.S. exchange. However, the SEC did start allowing investment vehicles tied to Bitcoin futures in October 2021.
The listing of the BTCC ETF comes on the heels of a U.S. appellate court’s mandate, which enforces a decision made on August 29, requiring the SEC to review a spot BTC ETF application from Grayscale Investments. In response, Grayscale submitted a registration statement to the SEC to list shares of its Bitcoin trust on the New York Stock Exchange Arca under the ticker symbol GBTC on October 19.
source : Cointelegraph