In a last-minute news update by The Block, Nasdaq has resubmitted an updated application for the iShares Bitcoin Trust, which now includes a surveillance-sharing agreement with the U.S. based crypto exchange, Coinbase. The updated application follows remarks made last week by the U.S. Securities and Exchange Commission (SEC) that previous Spot Bitcoin ETF applications were not “clear and comprehensive”.
BlackRock’s Spot Bitcoin ETF Application Updated
Nasdaq has re-filed a 19b-4 form for the iShares Bitcoin Trust, a Spot Bitcoin ETF headed by BlackRock. The document anticipates a bilateral surveillance-sharing agreement, called a “Spot BTC SSA”, between Nasdaq and Coinbase, designed to complete the Exchange’s market surveillance program.
The update to BlackRock’s Spot Bitcoin ETF application comes after the Wall Street Journal reported last week that the SEC stated the recent Spot Bitcoin ETF applications made by Nasdaq, Cboe, BlackRock, Fidelity, and others were not “clear and comprehensive”. Following this, Cboe swiftly updated its applications for separate spot bitcoin ETF proposals, including the one proposed by Fidelity.
Will SEC Give Green Light to Spot Bitcoin ETFs?
Nasdaq made the initial application for BlackRock’s Spot Bitcoin ETF in the middle of June. The SEC has not yet approved a Spot Bitcoin ETF. While there is a heightened expectation in the public that the SEC will give the green light to Spot Bitcoin ETFs with a large asset management firm like BlackRock making an application, some comments made by the SEC indicate that the possibility of this not happening is not negligible.
The possibility of BlackRock’s Spot Bitcoin ETF application being rejected is certainly within the possibilities due to the numerous rejections of various Spot Bitcoin ETFs by the SEC in the past and the repeated expressions of concern about market manipulation by the authorities.
