Categories: Crypto

BlackRock Applies to Buy Spot Bitcoin ETF Shares for Global Allocation Fund

Financial giant BlackRock has filed with the US Securities and Exchange Commission (SEC) to buy shares of a spot Bitcoin ETF for its Global Allocation product.

The documents were sent on March 7, 2024. In them, the company requests an expansion of the list of assets available for acquisition by the mentioned fund. According to analysts, BlackRock is thus seeking to increase the profitability of Global Allocation against the backdrop of a rising Bitcoin rate.

“The Fund may purchase ETP securities that generally reflect the value movement of the first cryptocurrency through direct ownership of the asset, including shares of a Bitcoin ETP sponsored by an affiliate of BlackRock. The fund will only invest in Bitcoin ETPs that are listed and traded on national securities exchanges,” the documents state.

The company also previously applied to purchase shares of a spot Bitcoin ETF for its Strategic Income Opportunities fund. The SEC has not yet made a decision on this issue.

Meanwhile, it became known that the agency again postponed consideration of an application for trading options on BlackRock's spot Bitcoin ETF - iShares Bitcoin Trust (IBIT). The SEC has moved the decision date to April 24, 2024.

Cboe, Nasdaq and LLC exchanges will have to wait until the second half of next month to get an update on their filings. It was these financial market representatives who previously requested SEC approval to trade options on IBIT.

At the same time, BlackRock’s cryptocurrency ETF continues to increase capital. On March 5, 2024, inflows into IBIT exceeded $788 million. The record figure was 30% higher than the previous historical maximum of $603.9 million on February 29, 2024. At the same time, the net inflow on March 5, 2024 into all spot Bitcoin ETFs in the United States reached $648 million.

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