The United States Securities and Exchange Commission (SEC) has officially accepted BlackRock’s application for a spot Bitcoin (BTC) exchange-traded fund (ETF) after acknowledging a similar application filed by Bitwise a day earlier.

In a score for institutionalized influence on cryptocurrencies, the SEC’s acknowledgement of BlackRock’s proposal indicates the commencement of the official review process, which also signals that the SEC is readier to explore the possibility of a spot Bitcoin ETF.

Exchange-traded funds aggregates and mirrors the value of one or more assets, which can be stocks, commodities or digital assets. In the realm of cryptocurrencies, a cryptocurrency ETF is a traded instrument which represents the value of one or multiple digital currencies.

On July 14th, the financial watchdog announced that is also in the process of reviewing the applications of multiple funds, including those of WisdomTree, Wise Origin Bitcoin Trust, Invesco Galaxy and VanEck.

The competition for being the first company in the United States to launch a Bitcoin ETF is quite fierce, and many see this rivalry as a positive development for the crypto industry. This will especially be the case if the SEC, due to the hefty number of applications, explores the potential strategies and concerns surrounding the launch of a spot Bitcoin ETF.

Sources:

https://cointelegraph.com/news/sec-accepts-black-rock-bitcoin-etf-application-signaling-regulatory-review

https://beincrypto.com/blackrock-bitcoin-etf-sec-review/

https://decrypt.co/148752/sec-blackrock-spot-bitcoin-etf-application

https://www.sec.gov/rules/sro/nasdaq.htm

https://www.sec.gov/rules/sro/cboebzx.htm