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BlackRock has ‘no current intentions‘ to develop a cryptocurrency exchange-traded fund
Eric Balchunas, senior ETF analyst at Bloomberg, put the likelihood of the SEC approving the VanEck fund at less than 1%.
BlackRock Financial Management's global head of iShares and index investments stated that the financial firm is unlikely to introduce crypto-related exchange-traded funds (ETFs) in the near future.
According to a Financial News report published Friday, BlackRock CEO Salim Ramji stated that the firm, which manages $9.5 trillion in assets, has "no current intentions" to create a cryptocurrency exchange-traded fund until greater regulatory clarification in the United States is achieved. He noted that while BlackRock is unlikely to be among the first in this new sector for crypto-related investments, the business must do due research.
"Before we wrap or put our brand on crypto, we want to ensure that our clients will be satisfied with us in five or ten years," Ramji explained. "The regulatory landscape for cryptocurrencies remains exceedingly murky and undefined."
In October, digital asset management Valkyrie and ETF provider ProShares introduced Bitcoin (BTC) Strategy ETFs on US stock platforms. Both funds provide direct exposure to cryptocurrency futures in the United States, with the filings likely prompted by Securities and Exchange Commission (SEC) chair Gary Gensler's hint in August that the agency may be open to approving exchange-traded products exposing investors to regulated bitcoin futures contracts.
In its first week of trading, ProShares' fund surpassed $1 billion in assets under management. Additionally, the BTC Strategy ETF has risen to the top 2% of all ETFs in terms of trading volume, with almost $400 million in shares traded on Nov. 10.
While Valkyrie and ProShares launched their BTC Strategy ETFs within days of one another, VanEck's product has yet to be cleared for listing on any exchange, despite contradicting media reports indicating a firm launch date. VanEck filed a prospectus with the SEC on Aug. 9 for its Bitcoin Strategy ETF, but is also awaiting clearance or refusal from the regulatory body for its spot Bitcoin ETF, which is slated to make a judgement by Nov. 14.
According to Bloomberg's senior ETF analyst Eric Balchunas, the likelihood of the SEC approving the VanEck fund are fewer than 1%, given the SEC's track record of declining offerings from investment firms with exposure to cryptocurrency.
"The Eagles have a better shot at winning the Super Bowl," Balchunas stated.
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By Crypto PiratesEric Balchunas, senior ETF analyst at Bloomberg, put the likelihood of the SEC approving the VanEck fund at less than 1%.
BlackRock Financial Management's global head of iShares and index investments stated that the financial firm is unlikely to introduce crypto-related exchange-traded funds (ETFs) in the near future.
According to a Financial News report published Friday, BlackRock CEO Salim Ramji stated that the firm, which manages $9.5 trillion in assets, has "no current intentions" to create a cryptocurrency exchange-traded fund until greater regulatory clarification in the United States is achieved. He noted that while BlackRock is unlikely to be among the first in this new sector for crypto-related investments, the business must do due research.
"Before we wrap or put our brand on crypto, we want to ensure that our clients will be satisfied with us in five or ten years," Ramji explained. "The regulatory landscape for cryptocurrencies remains exceedingly murky and undefined."
In October, digital asset management Valkyrie and ETF provider ProShares introduced Bitcoin (BTC) Strategy ETFs on US stock platforms. Both funds provide direct exposure to cryptocurrency futures in the United States, with the filings likely prompted by Securities and Exchange Commission (SEC) chair Gary Gensler's hint in August that the agency may be open to approving exchange-traded products exposing investors to regulated bitcoin futures contracts.
In its first week of trading, ProShares' fund surpassed $1 billion in assets under management. Additionally, the BTC Strategy ETF has risen to the top 2% of all ETFs in terms of trading volume, with almost $400 million in shares traded on Nov. 10.
While Valkyrie and ProShares launched their BTC Strategy ETFs within days of one another, VanEck's product has yet to be cleared for listing on any exchange, despite contradicting media reports indicating a firm launch date. VanEck filed a prospectus with the SEC on Aug. 9 for its Bitcoin Strategy ETF, but is also awaiting clearance or refusal from the regulatory body for its spot Bitcoin ETF, which is slated to make a judgement by Nov. 14.
According to Bloomberg's senior ETF analyst Eric Balchunas, the likelihood of the SEC approving the VanEck fund are fewer than 1%, given the SEC's track record of declining offerings from investment firms with exposure to cryptocurrency.
"The Eagles have a better shot at winning the Super Bowl," Balchunas stated.
Support us!