Bitcoin News and Finance
Blackrock Lines up $2 Billion for Spot Bitcoin ETF Launch, Sources Say Skip to main content

Blackrock Lines up $2 Billion for Spot Bitcoin ETF Launch, Sources Say

Blackrock Lines up $2 Billion for Spot Bitcoin ETF Launch, Sources Say

Blackrock, the world’s largest asset manager, has reportedly lined up more than $2 billion for its spot bitcoin exchange-traded fund (ETF) within days of launch. Vaneck’s head of digital assets research and a Bloomberg ETF analyst have independently verified with their sources that Blackrock has a “big day one” capital lined up for its spot bitcoin ETF.

Blackrock Prepares for ‘Big Day One’ of Spot Bitcoin ETF Launch

The world’s largest asset manager has reportedly lined up $2 billion in capital for its upcoming spot bitcoin exchange-traded fund (ETF) launch, according to Vaneck’s head of digital assets research, Matthew Sigel. Vaneck is among the asset managers that have filed to launch a spot bitcoin ETF with the U.S. Securities and Exchange Commission (SEC).

Blackrock, Vaneck, and nine other spot bitcoin ETF applicants are waiting for the green light from the SEC to launch spot bitcoin ETFs. Sigel revealed during an X Space discussion hosted by The Block on Friday:

I heard from a pretty well-placed source that Blackrock has more than $2 billion lined up in week one in new incremental flows from existing bitcoin holders who are adding to positions.

However, Sigel noted: “I can’t vouch for that. But you know, that’s what everyone is doing. Just making phone calls and trying to find the folks who can write checks into these products.”

The Vaneck head of digital assets research added: “If that $2 billion happened in week one, you know, that would blow away our estimates.” He clarified that his asset management firm has predicted $2.5 billion of capital to flow into spot bitcoin ETFs in the first quarter of trading. “We’re at $2.5 billion in the first quarter of trading, which we do by looking at the past flows into the first gold ETF and adjusting by the U.S. money supply,” he explained, emphasizing: “We have a $40 billion market opportunity over two years based on the similar analysis.”

In December last year, Blackrock revealed in an SEC filing a plan to seed its spot bitcoin ETF with $10 million on Jan. 3. In October last year, the asset manager seeded its spot bitcoin ETF with $100K. Blackrock has named Jane Street and JPMorgan as authorized participants for its spot bitcoin ETF.

Commenting on Blackrock lining up $2 billion for its spot bitcoin ETF launch, Bloomberg ETF analyst Eric Balchunas said on X: “It would be on brand for Blackrock. They’ve lined up and injected big cash into new ETFs on the first day of trading so it registers as volume/flows. *If* it’s true, $2b would blow away all first day/week volume/aum records for an ETF.”

The analyst then noted that out of the “25 most successful ETF launches of all time,” Blackrock dominates the top 10. “This is lined up cash (not organic) hence why I say ‘on brand.’ This is what they do,” he stressed. Moreover, the analyst emphasized:

I got a second source to confirm Matt’s claim that they have big day one $ lined up.

According to Fox Business, Blackrock expects its spot bitcoin ETF to be approved by Wednesday, the deadline for the SEC’s decision on Cathie Wood’s Ark Invest and 21shares’ spot bitcoin ETF proposal. The securities regulator is expected to green-light multiple spot bitcoin ETFs simultaneously.

Do you think Blackrock has lined up more than $2 billion for its spot bitcoin ETF within days of launch? Let us know in the comments section below.

Comments

Post a Comment

Popular posts from this blog

Custodial Lightning Network Service Attack Discovered by LN ‘Newbie’ — Hacker Strikes 6 LN Custodians

On September 18, a Redditor posted to the r/bitcoin forum and explained how he discovered a way to “attack [the] lightning Network’s custodial services.” The Reddit account dubbed “Reckless Satoshi” wanted to figure out if a “discrepancy between real routing fees and service’s transaction fee can be exploited for a profit.” The researcher disclosed that he wanted to see how large the damage could be and said “it is bad.” 6 Lightning Network Custodial Services Attacked, Researcher Discloses Findings to Offenders Prior to Public Disclosure A Redditor called Reckless Satoshi published a disclosure post on r/bitcoin this past Saturday and disclosed how he had found a vulnerability with routing fees and some of the Lightning Network’s custodial services. The research attack was done in good faith and after it was complete he disclosed the bugs to the offending services before publishing his findings. Reckless Satoshi used the Lightning Network (LN) attack on six different services incl...
Post a Comment
Read more

Axie Infinity Down 40% Since Last Week’s Price High, Protocol Revenue Outshines Competitors

Last week, the game token leveraged within the Axie Infinity gaming universe skyrocketed to all-time highs, while other crypto markets remained extremely lackluster. During the last seven days, Axie Infinity’s platform token has dropped significantly in value shedding more than 12%. Meanwhile, the game platform’s smooth love potion token has slid over 8% over the last 24 hours. Axie Infinity Down More Than 40% Since All-Time High Not too long ago, the axie infinity (AXS) token was a topical conversation because it reached an all-time high on July 15. At the time, AXS managed to capture $28.93 per unit and since then it has shed 12.8% during the last seven days. The axie infinity (AXS) token is used within the blockchain-based game that involves battles between token-based creatures called “Axies.” AXS is used for the game’s governance system as well as other actions within the game. At the time of writing axie infinity (AXS) is exchanging hands for $16.70 per coin. AXS/USD on Ju...
Post a Comment
Read more

Play-to-Earn Game From Polker (PKR) Exchange Listing – Endorsed by Akon

The Play-to-Earn NFT based Polker.Game ‘s native token $PKR has been officially listed on the popular centralized exchange BitMart. Polker.game has been in the spotlight recently as Akon, the American R&B superstar and record producer gave his official endorsement of polker stating that the “game is revolutionary” and that Polker is “hands down.. the best play to earn, NFT game in the space.”. With the BitMart listing and celebrity endorsement from Akon, Polker is perfectly positioned to become a major player in the Play-to-Earn league. Watch Akon’s Video Here What is Play-to-Earn? Although not a new concept, play-to-earn has become a trending term due to the popularity of the NFT game AXIE infinity. In the past, previous play-to-earn games have also achieved success – however, thanks to the huge amount of development in the blockchain space in recent years the gaming experience is now massively improved. Play-to-Earn games are essentially free to play and open to anyone and...
Post a Comment
Read more

China to Crack Down on Copyright Infringement Through NFTs

Authorities in China are going after creators of digital collectibles based on other people’s works of art, the use of which was not authorized. The government offensive is part of a campaign to combat online copyright infringement and piracy with the participation of several departments. Regulators in China Move to Strengthen Copyright Supervision of Online Platforms The National Copyright Administration of China (NCAC) has recently launched a campaign against copyright infringement and piracy on the internet, together with the Ministry of Industry and Information Technology, the Ministry of Public Security, and the State Internet Information Office of the People’s Republic. A major objective of the initiative is to improve copyright supervision of online businesses by investigating cases involving the sale and distribution of infringing products on short video, live broadcast and e-commerce platforms, and promptly dealing with infringing content, the agency announced in a press r...
Post a Comment
Read more
Blogarama - Blog Directory