Exactly a week ago, financial giant BlackRock filed a registration application for the iShares Ethereum Trust, the proposed ether (ETH) spot ETF. The news had caught the attention of crypto analysts as it suggested the upcoming filing of an Ethereum ETF application with the SEC. It is now done.
Ethereum ETF application now on the SEC’s table
Asset manager BlackRock has officially filed for a spot Ethereum ETF at the SEC. The news, which fell this Thursday, November 16, is unsurprising since it is the logical continuation of the registration requested a few days ago for the iShares Ethereum Trust.
But this new development is not without importance for the crypto ecosystem. It is even significantly significant for this industry which, despite its challenges, is experiencing sustained expansion.
This is basically a confirmation of the enthusiasm of institutional investors like BlackRock. This is also not the first nor the only asset manager to have submitted a request for an Ethereum spot ETF to the SEC.
The iShares Ethereum Trust, the Ethereum ETF that BlackRock is now applying for, aims to track the performance of ether (ETH). This is particularly what the S-1 form for filing the application indicates.
Direct consequences on the valuation of ETH
It should be noted that the news of the introduction by BlackRock of a request for a spot Ethereum ETF did not leave the crypto market indifferent. Obviously, the valuation of ether, Ethereum’s native crypto, has jumped slightly.
The price of the asset gained 1.19% to trade around $2,069. This positive market reaction highlights the impact that institutional involvement can have on the crypto landscape. Particularly when a financial juggernaut like BlackRock ventures into it.
The latter is precisely awaiting approval by the SEC of a request similar to the one now filed but concerning bitcoin. While the SEC has announced the postponement of its decision to 2024, it is interesting to note how many financial firms are getting impatient.
The latest news is that companies like Jane Street, Virtu Financial and Jump Trading are in discussions to provide liquidity to the Bitcoin ETF requested by BlackRock. All that remains is to obtain the famous authorization of which we no longer know when it would take place, the SEC maintaining doubt on the question.
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