BlackRock and Bitwise Submit Updated Bitcoin ETF Applications to SEC

In a recent development, BlackRock, a prominent asset management firm, and Bitwise have both submitted revised applications for spot Bitcoin exchange-traded funds (ETFs) with the Securities and Exchange Commission (SEC).

Ongoing Discussions Indicated

While the SEC has yet to approve any spot Bitcoin funds and has consistently delayed previous applications, industry analysts speculate that the simultaneous moves by BlackRock and Bitwise suggest ongoing discussions. Bloomberg Intelligence analyst James Seyffart noted the influx of filings, indicating potential ongoing dialogue between multiple issuers and the SEC.

Continuous Efforts and Collaborations

Seyffart emphasized that both the SEC and the issuers are actively working to address concerns and navigate the regulatory landscape. The recent filings are seen as a result of extensive conversations and collaborative efforts between the involved parties.

Key Updates in BlackRock's Filing

BlackRock's updated filing introduced new language detailing the trust administrator's efforts to monitor unusual price movements. Additionally, it incorporated information on anti-money laundering compliance and included an audited statement from PricewaterhouseCoopers.

"The Sponsor and the Trust will only interact with known third-party service providers with respect to whom the Sponsor or its affiliates have engaged in a due diligence process to ensure a thorough KYC process, such as the Authorized Participants, Market Makers, Prime Broker, and Bitcoin Custodian," the revised filing stated.

Bitcoin's Price Surge

Amid speculation surrounding the SEC's potential approval of a spot fund, Bitcoin has experienced a notable surge. The world's largest cryptocurrency has witnessed a 20.6% increase in the past month, currently trading just below $42,000.

The recent submissions by BlackRock and Bitwise reflect the industry's continued efforts to secure approval for spot Bitcoin ETFs. Ongoing conversations between regulators and issuers indicate a dynamic landscape, with market participants eagerly anticipating potential developments in the cryptocurrency space.

As the industry awaits regulatory decisions, the collaborative efforts of issuers and the SEC continue to shape the landscape. The ongoing dialogue underscores the complexities involved in bringing spot Bitcoin ETFs to market.