U.Today - BlackRock (NYSE:BLK), the world's largest asset manager, is positioning itself to introduce a Bitcoin exchange-traded fund (ETF), leveraging a potentially groundbreaking partnership with Coinbase (NASDAQ:COIN) and NASDAQ.
In , analyst Nate Geraci speculated that BlackRock is mediating between the SEC and Coinbase, a prominent cryptocurrency exchange.
This maneuver would present a win-win-win scenario: would gain a regulated crypto exchange, Coinbase would secure its business and BlackRock could potentially become the first to launch a spot Bitcoin ETF in the U.S.
A critical part of this arrangement is the NASDAQ's role in overseeing the spot market data that would inform the pricing of the proposed ETF.
Jeff Roberts, a Fortune reporter, suggests that NASDAQ's involvement could mitigate the SEC's fears about possible price manipulation. Such concerns have been pivotal in the SEC's rejection of previous Bitcoin ETF applications.
The possible approval of this could open the floodgates for institutional players like pension funds to invest in Bitcoin. The credibility brought by BlackRock's entry into the Bitcoin ETF market, coupled with the NASDAQ's role in the spot market, might soothe the SEC's concerns.
The recent legal actions against Coinbase by the SEC underscore the pressing need for regulated crypto exchanges.
The impact of such a development on the crypto market would be significant, as emphasized by Mike Novogratz, a well-known Bitcoin investor.
As , he underscored his support for the BlackRock initiative on Liz Claman's show, stating that the launch of a Bitcoin ETF by BlackRock would be the "best thing" for Bitcoin.