"BlackRock Revises Spot Bitcoin ETF, Opening Doors for Wall Street Banks"

"BlackRock Revises Spot Bitcoin ETF, Opening Doors for Wall Street Banks"
Photo by David Shares / Unsplash


  • Brief overview of BlackRock's revision to its spot Bitcoin ETF.
  • Importance of this revision in the context of Wall Street banking and cryptocurrency.


  • Explanation of what a Bitcoin ETF is.
  • BlackRock's role in the financial and crypto markets.
  • Previous challenges faced by banks in participating in crypto-based ETFs.

BlackRock's Revised ETF Model

  • Detailed description of the new “prepay” model for in-kind redemption.
  • Comparison with the previous model.
  • How it makes participation easier for banks like JPMorgan and Goldman Sachs.

Meeting with the SEC

  • Information about the meeting between BlackRock, NASDAQ, and the SEC on Nov. 28.
  • Discussions and presentations made during the meeting.
  • The significance of SEC approval for the revised ETF model.

Implications for Wall Street Banks

  • Impact on banks with large balance sheets.
  • The role of banks as authorized participants in the fund.
  • How this model circumvents current restrictions for banks.

Technical Details of the Model

  • Process of transferring cash to broker-dealers and converting it to Bitcoin.
  • The role of Coinbase Custody as the ETF’s custody provider.
  • Risk management in the new model.

Market and Regulatory Implications

  • BlackRock's claims about market manipulation resistance and investor protections.
  • How this could affect transaction costs and the wider Bitcoin ETF ecosystem.
  • The importance of SEC approval and its potential impact.

Recent and Upcoming Meetings with the SEC

  • Recap of BlackRock’s recent meetings with the SEC.
  • Key points and expectations from these meetings.
  • The timeline for the SEC’s decision on BlackRock’s application.

Perspectives and Predictions

  • Analysts' views on the likelihood of SEC approval.
  • Opinions from industry experts like Galaxy Digital’s Mike Novogratz on Bitcoin ETFs.
  • The broader context of institutional adoption of cryptocurrencies.

Competition and the Market

  • Other financial firms awaiting SEC decisions on similar applications.
  • Comparative analysis of BlackRock's ETF with others in the market.
  • Predictions on market response if BlackRock’s ETF is approved.


  • Summary of the potential impact of BlackRock's revised Bitcoin ETF on the finance and crypto sectors.
  • Final thoughts on the future of crypto ETFs and institutional involvement.

Sources and References

  • Listing of sources used for information in the article.