BlackRock , one of the world's largest asset managers with $9 trillion in custody, will buy $10 million worth of Ethereum to create their new ETF.
In a filing with the Securities and Exchange Commission (SEC), BlackRock said it deposited the fiat amount:
“On May 21, 2024, Seed Capital Investors, an affiliate of the Sponsor, subject to the terms, purchased the Seeding Basket, consisting of 400,000 Shares at a price per Share equivalent to $25 USD ”.
The profile adds:
“The Trust's total proceeds from the sale of the Seed Innovation Basket are $10,000,000. In [ ], 2024, the Trust purchased [ ] Ether with proceeds from the Seed Innovation Basket.”
This suggests they have not bought ETH yet and there will be another amendment to fill in the blanks.
BlackRock is seeding the ETH ETF with the equivalent of $10 million for the Bitcoin ETF it purchased on January 3, days before trading began.
It will be traded under ETHA, with Bank of New York Mellon to oversee the fiat portion while Coinbase will hold the ETH.
It remains unclear when trading is expected to begin once the ETFs are approved, with at least two more amendments expected as issuers disclose management fees at the end.
They are currently in the process of purchasing the initial ETH that will be sold in the first minutes and hours of trading, with Fidelity's ETF also receiving the DTCC ticker symbol FETH.
General Bitcoin News