SEC in Talks with BlackRock and Fidelity on Bitcoin ETF Redemption Model

Janak9955

According to The Block, the U.S. Securities and Exchange Commission (SEC) has been in discussions with prominent asset management firms, including BlackRock and Fidelity, about the potential technical details of a Bitcoin spot ETF. These discussions may indicate that the SEC is nearing a decision on whether to approve such a product.

Memoranda reveal that these companies have met with the SEC in recent weeks to discuss the specifics of the redemption process for a Bitcoin spot ETF. Vivian Fang, a finance professor at Indiana University, suggests that the SEC appears to be in a review period, finalizing details for potential approval.

Fang disclosed that BlackRock's representatives met with the SEC on November 28 to discuss the operational model of its IBTC and proposed a concept called the "amended in-kind" model. This model aims to provide more flexibility for asset management companies when investors wish to redeem shares for the underlying assets.

Jatin255

This requires having multiple meetings for discussion.

Jiger955

Everyone is navigating this industry by feeling their way through.

Yamini003

There is still ongoing discussion in this regard.