BlackRock Updates Spot Bitcoin ETF Application

The firm disclosed that it has received $100,000 in seed funding for a spot fund.

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Finance Reporter
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Reviewed by: etf.com Staff
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Edited by: Mark Nacinovich

BlackRock Inc., the world’s largest asset manager, received at least $100,000 in seeding from an unknown investor as the seasoned Wall Street player moves toward launching a much-anticipated spot bitcoin ETF.  

The company disclosed in its most recent amendment to its S-1 filing on Dec. 4 with the Securities and Exchange Commission that an investor agreed to pay the firm $100,000 in seed funding for the potential spot bitcoin ETF product. According to the filing, the investor “took delivery” of 4,000 shares at a price of $25 per seed share.  

The SEC now allows ETFs that track bitcoin and ethererum futures contracts, but to this point, it has blocked ETFs that track physically backed bitcoin. Yet after it lost a watershed lawsuit to Grayscale Investments Inc. in late August, the SEC has been working with a group of 13 firms to move their applications for a spot bitcoin ETF forward.  

Spot Bitcoin ETF Applications 

The price of bitcoin has skyrocketed this year. It was recently trading at nearly $44,800, up 4.6% in the past 24 hours, as anticipation for the passage of a spot bitcoin has reached a fever pitch among eager cryptocurrency investors.

While applicants for a spot bitcoin ETF include cryptocurrency specialist firms such as Bitwise Asset Management Inc., traditional investment firms such as BlackRock, Fidelity and Franklin Templeton have also entered the race , potentially opening the crypto market to more institutional investors.   

In its latest filing, BlackRock gave updates and risk disclosures related to ETF pricing, security and regulatory compliance.  

Bloomberg analysts have given the odds of an early January approval a 90% chance.  

Contact Lucy Brewster at [email protected].

Lucy Brewster is a finance reporter at etf.com covering asset managers, emerging technologies, and regulation. She hosts etf.com webinars and appears on Exchange Traded Fridays, etf.com’s flagship podcast. She previously was a finance fellow at Fortune Magazine where she covered markets, investment strategy, and venture capital. She has also been a freelancer writer at the publication Mergers & Acquisitions and a research fellow at the Historic Hudson Valley. 

She graduated from Vassar College in 2022 with a degree in History and was an editor of The Miscellany News, the college's award winning student run newspaper. 

Lucy lives in Brooklyn, NY, and in her free time she loves to run and find new recipes to cook.