The U.S. Securities and Exchange Commission (SEC) has delayed its decision on an application for a Bitcoin exchange-traded fund (ETF) filed by global asset management giant BlackRock.
BlackRock, which oversees $8.5 trillion in assets, submitted an application in June for an ETF tied to its iShares Bitcoin Trust. The proposed fund would hold Bitcoin with oinbase">Coinbase as the custodian and Bank of New York Mellon managing cash holdings.
BlackRock outlined the value of an ETF in removing the complexities of direct Bitcoin investment. The delay comes after Grayscale unsuccessfully petitioned the SEC to overturn the rejection of a spot Bitcoin ETF listing.
Many in crypto hoped BlackRock’s scale could boost chances of approval. The SEC delay provides a 45-day extension, pushing the deadline to Oct. 17 for a decision on the proposed Bitcoin ETF.
Additionally, the SEC delayed a swath of other Bitcoin ETF applications on Aug. 31 from firms including WisdomTree, Valkyrie, VanEck, and Fidelity.
Regulatory approval remains the major hurdle for a spot Bitcoin ETF in the U.S. market. While delays have become expected, BlackRock’s application stood out given its dominance in traditional finance. The prolonged SEC review highlights crypto’s continued challenges in accessing mainstream investors.
