BlackRock’s Ethereum ETF $ETHA Listed on DTCC, Awaits Trading

As a seasoned crypto investor with over a decade of experience in the market, I’m thrilled to see BlackRock’s spot Ethereum ETF officially listed on the DTCC under the ticker symbol $ETHA. The SEC approval of eight Ethereum ETFs, including those from notable firms like VanEck, Fidelity, and BlackRock itself, is a significant step forward for the crypto industry.

As a researcher studying the financial market, I can tell you that BlackRock’s Ethereum-linked Exchange Traded Fund (ETF), denoted as $ETHA on the Depository Trust & Clearing Corporation (DTCC), has recently received approval from the Securities and Exchange Commission (SEC). This approval comes alongside six other Ethereum ETF applications. However, before trading can commence, additional clearance is required from the SEC based on their S-1 filings.

BlackRock’s ETH ETF Listed As $ETHA

As a researcher, I’m excited to share that BlackRock’s Ethereum-backed ETF, which I’ve been following closely, has now been officially listed on the Depository Trust and Clearing Corporation (DTCC) under the ticker symbol $ETHA. This significant milestone comes after the green light from the US Securities and Exchange Commission (SEC) for a total of eight spot Ethereum exchange-traded funds (ETFs).

SEC Approval and Market Impact

As a researcher studying the cryptocurrency market, I can tell you that some highly regarded firms, including VanEck, Fidelity, Franklin Templeton, Grayscale, Bitwise, ARK Invest, 21Shares, Invesco, Galaxy, and BlackRock’s iShares Trust, have received the go-ahead from the SEC to launch Ethereum Exchange-Traded Funds (ETFs). These ETFs will be listed on major exchanges such as Nasdaq, NYSE Arca, and the Cboe BZX Exchange. The approval of these ETFs is likely to lead to a substantial increase in Ethereum’s market value. According to Bernstein, a significant asset manager, this development could push Ethereum to reach a new record high of $6,600.

Pending S-1 Filings

Although the 19b-4 forms for these ETFs have been given the green light, their trading remains suspended. The SEC’s review of each ETF’s S-1 filing is still pending. The length of this approval process can differ significantly, with some predictions suggesting a few weeks, while others estimate several months.

Bloomberg ETF analyst James Seyffart commented, 

“Obtaining this approval doesn’t automatically mean they will start trading the next day. It only refers to 19b-4 filing approval. Additionally, there is a need for approval on the S-1 documents which may take a few weeks, though it could potentially take longer.”

Seyffart suggests that the SEC’s review of the S-1 filings could take up to five months.

Industry Reactions

In the weeks preceding the approval, there were apprehensions regarding the potential rejection of Spot Ethereum ETFs due to Ethereum’s inability to hold above $3,000. However, the SEC’s unexpected demand for filers to revise their 19b-4 applications suggested a change in stance. BlackRock swiftly complied, fueling rumors about its impact on the SEC’s decision, considering BlackRock’s proven track record in ETF approvals.

BlackRock Maintains ETF Approval Record

BlackRock has taken a initiative step by revising its application and adjusting its Nasdaq amendment to propose cash settlements for creation and redemption of Ethereum ETF shares, following a trend set by other Ethereum ETF applications and previously approved Bitcoin ETFs. This move is perceived as a tactical decision aimed at securing regulatory approval from the SEC and ensuring smooth operational processes.

BlackRock, the globe’s leading asset manager, is recognized for its impressive history of success with the Securities and Exchange Commission (SEC). This achievement underscores their ability to skillfully maneuver through regulatory challenges and consistently secure approvals for their exchange-traded fund (ETF) applications.

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2024-05-24 15:09