Introduction
BlackRock, the world’s largest asset manager, has once again met with representatives from the U.S. Securities and Exchange Commission (SEC) and Nasdaq, focusing on the potential listing of a spot Bitcoin exchange-traded fund (ETF) under NASDAQ Rule 5711(d).
Background on NASDAQ Rule 5711(d)
The Nasdaq Rule 5711(d), a focal point of these discussions, sets forth the standards for the initial and ongoing listing of commodity-based trust shares, such as a Bitcoin ETF. This rule is critical in ensuring market integrity and protecting investors from fraud through stringent compliance measures and surveillance systems.
Progress in Discussions
This meeting follows a prior gathering in November, where BlackRock, Nasdaq, and the SEC initially explored a rule proposal for the listing. BlackRock presented a comprehensive plan, highlighting potential redemption models for the proposed iShares Bitcoin Trust.
SEC’s Continued Deliberations
Furthering these discussions, the SEC convened another meeting on December 14, attended by officials from SEC Chair Gary Gensler’s office. This meeting aimed to refine the proposed rule change, allowing major exchanges to list a spot Bitcoin ETF, a significant step forward in the integration of cryptocurrencies into mainstream financial markets.
Conclusion
As the dialogue between these financial giants continues, the prospects for a spot Bitcoin ETF become increasingly tangible, paving the way for a new era in cryptocurrency trading and investment.
