CEO Larry Fink of American asset management group BlackRock expressed no concern that Ethereum (ETH) may be classified as a security by the SEC.
BlackRock CEO says Ethereum ETF is still viable even if ETH is declared a security by the SEC. Photo: Bloomberg
In an interview on the US television channel FOX Business on March 27, CEO Larry Fink of BlackRock - the largest asset management group in the US - said that there is still a chance for ETF proposals for Ethereum to be approved. despite the fact that ETH may be declared a security by the US Securities Commission (SEC).
BlackRock was the first Wall Street firm to start a wave of registrations to create spot ETFs for Bitcoin in June 2023, leading to SEC approval of 10 Bitcoin spot ETFs just 7 months later.
BlackRock's IBIT fund is also currently the largest Bitcoin ETF, attracting more than 16 billion USD in assets after only 2 and a half months of launch, as well as accounting for 40% of the total volume of the entire BTC ETF segment.
Mr. Larry Fink confidently affirmed that IBIT is the fund with the fastest growth in the history of the ETF industry, and continued to express optimism in Bitcoin's long-term prospects. BlackRock's CEO revealed that he was surprised by the market's warm reception for the Bitcoin ETF.
JUST IN: BlackRock CEO Larry Fink says their spot #Bitcoin ETF "is the fastest growing ETF in the history of ETFs." 🚀 pic.twitter.com/J6g7XrYWCU
— Bitcoin Magazine (@BitcoinMagazine) March 27, 2024
When asked by a FOX Business reporter about the possibility of Ethereum becoming the next cryptocurrency to be ETFized, despite being classified as a security by the SEC, Mr. Larry Fink said that it is still possible, but At this time, no further information can be disclosed.
JUST NOW - on Claman Countdown⬇️
— Chad Steingraber (@ChadSteingraber) March 27, 2024
Blackrock's Larry Fink — #IBIT is the most successful ETF in the history of #ETF 's
Ethereum ETF could happen even if it was considered a security (because ETF's can hold anything, including other securities). pic.twitter.com/tpDLlh9M76
There are currently nine American companies intending to do the same with the world's second largest cryptocurrency, Ethereum (ETH), with some of them also wanting to use ETH secured in ETFs to participate in Staking..
Ethereum spot ETF proposals are pending SEC approval. Source: Bloomberg (March 27, 2024)
However, unlike the Bitcoin spot ETF, the Ethereum ETF has so far been repeatedly delayed by the SEC in its decision-making time and there is little information showing that the commission is directly discussing with the issuer about adjusting the registration application. to meet the requirements of this financial management agency. For those reasons, Bloomberg analysts say it is likely that the SEC will refuse to approve an Ethereum ETF .
Not stopping there, there has been a lot of information that the SEC has recently asked many units that have worked with the Ethereum Foundation to provide information , sparking rumors that the securities commission is about to investigate . The organization behind Ethereum aims to close the argument that ETH is a security.
In announcing the approval of the Bitcoin ETF in January, Chairman Gary Gensler said that currently only BTC is recognized as not a security, while all the remaining cryptocurrencies, especially Proof coins, are not considered securities. -of- Stake like Ethereum, are all suspect.
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