Multi-trillion dollar asset manager BlackRock Inc. has once again invoked a bullish sentiment in the broader market with a filing that may serve as a precursor toward officially applying to the launch of its first Ethereum spot Exchange Traded Fund (ETF) product.
BlackRock Ethereum ETF: Changing the Narrative
The latest registration, dubbed the iShares Ethereum Trust, was lodged in Delaware with the Department of State Division of Corporations. While this is not an active ETF filed, experts project that it can eventually push the firm to lodge an official application with the United States Securities and Exchange Commission in the coming days.
With more than $10 trillion in Assets Under Management (AUM) in its coffers, BlackRock deepened its push into crypto earlier this year when it filed to launch its iShares Bitcoin Trust. This filing at the time was preceded by the current move that the firm is making for its iShares Ethereum Trust.
Notably, BlackRock is a force in the financial world, and its embrace of the Bitcoin spot ETF triggered a tsunami of related applications with firms like Fidelity Investments and VanEck also joining the train. A similar trend may occur with this Ethereum ETF.
BlackRock has advanced in its push for a Bitcoin spot ETF, refiling the application on several occasions to make the application reflect the feedback shared by the SEC. The asset manager went as far as seeding the product last month per earlier reports. Though no official approval has been given to any Bitcoin ETF product, the presence of BlackRock in the race has solidified the hope that the product’s approval is a matter of when and not if.
Ethereum Price Jumps for Joy
The news of the BlackRock Ethereum ETF registration has sent shockwaves into the broader market, particularly pushing Ethereum to new highs.
At the time of writing, the digital currency has soared by 6.05%, with ETH breaching the $2,000 resistance level for the first time since mid-July. The ETF hype spells a good prospect for Ethereum which will now equally stay on par with Bitcoin as an asset that can easily be embraced by institutional investors if the official ETF is approved in the long term.
Notably, BlackRock will not be the first mover in the Ethereum ETF race as other major players including Grayscale Investments have officially approached the SEC to swap its Ethereum Trust to a spot Ethereum ETF product.
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