Bitcoin and ETF move from BlackRock!

The BlackRock ETF, the largest asset management company in the US and the world, took into account the cash generation and redemption mechanisms, the model preferred by the Securities and Exchange Commission (SEC). It is thought that the SEC could approve a series of spot Bitcoin ETF applications as early as January.

Blackrock first applied for the 'iShares Blockchain and Tech ETF' last month and proposed an in-kind redemption model.

ETFs typically have one of two types of redemption and creation mechanisms, in-kind or contractual.

However, the SEC put the proposal under review, citing concerns about investor safety and market manipulation.

Increased chances The in-kind redemption structure allows firms to buy back shares for Bitcoin (BTC) held by their ETFs. Many firms say it is more attractive to investors.

Cash redemptions, which the SEC considers a safer and more accessible redemption option, exchange those shares for their equivalent cash value.

BlackRock is the latest of several firms to agree to hold cash redemptions until in-kind redemptions are approved.

So far, many firms have applied for ETFs. ARK 21Shares revised its application with a similar change.

The SEC also delayed other ETF applications filed by Grayscale, Ark 21shares, VanEck and Hashdex.