{"id":273289,"date":"2024-03-28T17:38:49","date_gmt":"2024-03-28T12:08:49","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=273289"},"modified":"2024-03-28T17:38:49","modified_gmt":"2024-03-28T12:08:49","slug":"blackrock-would-still-pursue-spot-ether-etf-if-ethereum-cops-securities-designation-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/blackrock-would-still-pursue-spot-ether-etf-if-ethereum-cops-securities-designation-crypto-news\/","title":{"rendered":"BlackRock Would Still Pursue Spot Ether ETF If Ethereum Cops Securities Designation – Crypto News"},"content":{"rendered":"

BlackRock\u2019s CEO said the SEC classifying Ether as a security would not preclude spot Ethereum ETFs from entering the market.<\/p>\n

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BlackRock, the world\u2019s largest asset manager, has reaffirmed its commitment to bringing a spot Ether ETF to market, regardless of whether the U.S. Securities and Exchange Commission classifies Ether as a security.<\/p>\n

In a March 27\u00a0appearance<\/a>\u00a0on Fox Business, Larry Fink, the CEO of BlackRock, said Ether becoming classified as a security by the SEC would not be \u201cdeleterious\u201d to its spot ETH exchange-traded fund (ETF) ambitions.<\/p>\n

When asked if an Ether ETF would still be on the cards in the event of a securities designation for Ether, Fink\u00a0said<\/a>\u00a0\u201cI think so.\u201d<\/p>\n

BlackRock filed for a\u00a0spot Ether ETF<\/a>\u00a0in November, two months before its iShares Bitcoin Trust (IBIT) was approved by the SEC. IBIT began trading in early January and has since absorbed $15.4 billion to rank as the\u00a0third-largest commodity ETF<\/a>\u00a0behind the top two gold funds.<\/p>\n

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\u201cIBIT is the fastest growing ETF in the history of ETFs, nothing has gained assets as fast as IBIT,\u201d Fink told Fox Business. \u201cI would never have predicted before we filed it, that we were going to see this type of retail demand.\u2026 I\u2019m very bullish on the long-term viability of Bitcoin.\u201d<\/p>\n

Fink\u2019s comments come as expectations that the SEC would approve the pending cohort of spot Ether ETF applications in late May have died down.<\/p>\n

Eric Balchunas, an ETF analyst at Bloomberg who estimated the funds would receive approval at a 70% likelihood in January, has since revised his\u00a0forecast<\/a>\u00a0to a \u201cvery pessimistic 25%.\u201d<\/p>\n

Balchunas cited the lack of engagement between the SEC and prospective Ether ETF issuers as the main reason for his skepticism, noting that the regulator conducted\u00a0frequent meetings<\/a>\u00a0with spot Bitcoin ETF applicants in the months leading up to the funds\u2019 approval in January.<\/p>\n

\u201cIf SEC gave comments our odds would at least double, maybe even triple,\u201d Balchunas\u00a0tweeted<\/a>. \u201cBut hard to imagine them leaving themselves and issuers less than 2 [months] for comments\/fixes, etc.\u201d<\/p>\n

Brian Rudick, an analyst at GSR, a crypto trading firm, has also dropped his odds estimate from 75% to 20% since January, similarly citing a lack of interaction between applicants and the SEC.<\/p>\n

However, Craig Salm, the chief legal officer of spot Bitcoin ETF issuer, Grayscale said the lack of SEC engagement should not be inferred as a bearish signal as its previous meetings with the agency ironed out the same issues that would apply to spot Ether ETFs.<\/p>\n

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