©Reuters.
NEW YORK – BlackRock Inc (NYSE:), the world’s largest asset manager, has updated its prospectus to include Jane Street and JPMorgan Securities as potential authorized participants for its proposed exchange-traded fund (ETF) spot-Bitcoin, which is currently awaiting approval from the United States Securities and Exchange Commission (SEC). The move comes as the industry eagerly awaits the SEC’s decision on several Bitcoin ETF applications.
The inclusion of Jane Street and JPMorgan Securities indicates that BlackRock is preparing for a potential launch, if the SEC approves. These companies would play a crucial role in the ETF’s operations, facilitating the creation and redemption of shares linked to the real price of bitcoin.
In a similar strategic alignment, Fidelity and WisdomTree, two other investment giants, have also designated Jane Street as an authorized participant for their respective Bitcoin ETFs. The two companies are part of a group of financial institutions that have submitted Bitcoin ETF proposals to the SEC and are awaiting the regulator’s decision.
The SEC has a deadline to rule on a request for direct investment in a Bitcoin ETF from other companies. The outcome of this decision is highly anticipated as it could set a precedent for the approval or rejection of similar cryptocurrency products in the future.
The introduction of a spot bitcoin ETF has generated significant interest within the investment community. Supporters of such a fund argue that it would provide investors with more direct and regulated exposure to bitcoin, compared to existing derivatives-based ETFs that track bitcoin futures.
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