2024-01-11 14:05

Copyrighted Image by: Reuters NEW YORK - BlackRock (NYSE:BLK)'s foray into the cryptocurrency space took a significant step forward today with the U.S. Securities and Exchange Commission (SEC) clearing its iShares Bitcoin Trust ETF (IBIT). The approval spurred a notable increase in pre-market trading on Nasdaq, signaling investor enthusiasm for the new product. Dominik Rohe, a spokesperson for BlackRock, emphasized the benefits that IBIT offers to asset managers and financial advisors, citing its convenience and operational advantages. This development is a part of BlackRock's broader digital assets initiative, which aims to provide clients with a diverse range of investment options. The iShares Bitcoin Trust ETF has been listed on multiple platforms, including BlackRock's iShares site, Nasdaq, and Aladdin, the company's end-to-end investment platform. BlackRock's expansion into digital assets through IBIT adds to its already extensive offerings, which encompass over 1300 ETFs across various asset classes. https://www.investing.com/news/cryptocurrency-news/blackrocks-ishares-bitcoin-trust-etf-trades-up-premarket-after-sec-nod-93CH-3272537

2024-01-11 13:35

Copyrighted Image by: Reuters. Here’s everything you need to know about Bitcoin ETFs: Listing, fees and more The SEC's approval of 11 proposed spot Bitcoin ETFs on January 10 marks a significant milestone, affirming the growing acceptance and legitimacy of Bitcoin in traditional financial markets. This development follows BlackRock's filing of an S-1 with the SEC in June 2023, signaling the initiation of the approval process. “We have been adamant that a spot Bitcoin ETF approval would be the single most important catalyst for Bitcoin in the near term,” analysts at Cantor Fitzgerald said. “In our view, an approved spot ETF boosts Bitcoin's accessibility, credibility, and network effects. We view today's approval as a landmark milestone in Bitcoin's short history, with substantial implications for long-term price appreciation.” Here’s everything you need to know about Bitcoin ETFs. Bitcoin ETFs listing The ETFs will be listed on the following exchanges: BZX NYSE Arca Nasdaq Background The groundwork for this approval was laid in August 2023 when a landmark decision in Grayscale Investments, LLC v. SEC deemed the SEC's denial of Grayscale's spot Bitcoin ETF as arbitrary and capricious. The court emphasized the need for consistency in regulatory decisions, questioning the disparate treatment of spot Bitcoin ETFs compared to Bitcoin futures ETFs. Nasdaq's filing of a 19b-4 form for a BlackRock Spot Bitcoin ETF set the stage for subsequent proposals from various asset managers. These filings included surveillance-sharing agreements to prevent market manipulation, showcasing the industry's dedication to addressing regulatory concerns. Among the ETF proposals, the ARK 21Shares Bitcoin ETF stood out by amending its filing to include a Surveillance-Sharing Agreement (SSA) with the CME Futures markets. The final deadline for this proposal was January 10, 2024, leaving the SEC with no legal option to further delay the decision. An approval for ARK 21Shares could set a precedent for other ETFs, given the absence of substantial distinctions between this proposal and others. The SEC, lacking an incentive to favor one over the other, logically opted to maintain consistency in its approach within the crypto market. The applicants for the pending Bitcoin Spot ETF resubmitted S-1 filings, incorporating fee structures and specifying authorized participants. Initially, many fee structures outlined 'waiver periods,' presenting reduced fees for a defined duration or until a target AUM was achieved. Market implications Numerous research firms have sought to assess the initial influx that Spot Bitcoin ETFs might attract. Various analyses draw parallels between the introduction of a U.S.-listed gold ETF (SPDR Gold Trust ETF, GLD) and the potential launch of Spot Bitcoin ETFs. The launch of GLD made precious metal investing mainstream, alleviating concerns related to insurance, shipping, and storage vaults. Similarly, a Bitcoin Spot ETF could streamline the process, eliminating the need to find a Bitcoin custodian, navigate self-custody complexities, or engage in futures markets. According to Cantor Fitzgerald's analysis, GLD achieved $1 billion in asset value on its first trading day, reached $5 billion in its initial 15 months, and soared to $76.7 billion in assets by 2011, briefly surpassing SPY as the world's largest ETF. Standard Chartered, a UK-based bank, recently projected a total inflow of $34 billion for Bitcoin Spot ETFs. Nigel Green, a long-term cryptocurrency enthusiast and CEO of the deVere Group, believes that the SEC approval of Bitcoin ETFs could send the world's digital asset to as much as $60,000 over the next 3 months. "This approval by the financial regulator of the world’s largest economy is a landmark moment for Bitcoin and the wider crypto market and boosts prices in the long-term, even if there’s a sell-off in the near-term," Green said. Bitcoin ETFs fees As the SEC's approval opens new avenues for investors to access Bitcoin, the cryptocurrency community anticipates increased market participation, potentially driving further adoption and market growth. Bitcoin price has been moving higher in recent months in anticipation of the positive SEC decision. Crypto stocks have been on a surge, with Coinbase (NASDAQ:COIN) up over 110% since October. “Now that Spot Bitcoin ETFs are approved, we believe investors should turn their attention to its potential impact on Bitcoin price. We believe this approval acts as a major demand shock to the market, occurring a few months before Bitcoin's recurring supply shock: the halving event expected in April 2024.” As of 1/10, all Bitcoin ETFs had a 0.0% fee during waiver periods, except for BlackRock, whose waiver period offers 0.12% for 12 months. Fees range from 0% for 6 ETF issuers (BITB, ARKB, FBTC, BTCW, BTCO, and BRRR) for the initial 6 months, except for BRRR, which is offering 0% fees for the first 3 months. Outside of this group, HODL set its expense ratio at 0.25%, while fees for EZBC are 0.29%. DEFI and GBTC stand at 0.9% and 1.5%. Conclusion The approval of spot Bitcoin ETFs marks a pivotal milestone in Bitcoin's fifteen-year history. This gold seal of approval signifies the legitimization of the digital asset within the traditional financial markets. The ETFs will now act as enablers, allowing certain investment funds to access exposure with reduced barriers to entry, particularly in terms of cost, risk, and custody. Focus now shifts towards the trading details, associated costs, custody, market demand, etc. https://www.investing.com/news/cryptocurrency-news/heres-everything-you-need-to-know-about-bitcoin-etfs-listing-fees-and-more-3272476

2024-01-11 12:57

Copyrighted Image by: Reuters Litecoin Climbs 12% In Rally Investing.com - Litecoin was trading at $73.645 by 07:55 (12:55 GMT) on the Investing.com Index on Thursday, up 12.10% on the day. It was the largest one-day percentage gain since June 30, 2023. The move upwards pushed Litecoin's market cap up to $5.409B, or 0.30% of the total cryptocurrency market cap. At its highest, Litecoin's market cap was $25.609B. Litecoin had traded in a range of $69.552 to $73.650 in the previous twenty-four hours. Over the past seven days, Litecoin has seen a rise in value, as it gained 11.75%. The volume of Litecoin traded in the twenty-four hours to time of writing was $652.725M or 0.54% of the total volume of all cryptocurrencies. It has traded in a range of $61.0686 to $73.6500 in the past 7 days. At its current price, Litecoin is still down 82.47% from its all-time high of $420.00 set on December 12, 2017. Elsewhere in cryptocurrency trading Bitcoin was last at $47,393.8 on the Investing.com Index, up 6.01% on the day. Ethereum was trading at $2,653.04 on the Investing.com Index, a gain of 12.39%. Bitcoin's market cap was last at $927.105B or 51.36% of the total cryptocurrency market cap, while Ethereum's market cap totaled $318.176B or 17.63% of the total cryptocurrency market value. https://www.investing.com/news/cryptocurrency-news/litecoin-climbs-12-in-rally-3272409

2024-01-11 12:24

Copyrighted Image by: Reuters. XRP Climbs 11% In Rally Investing.com - XRP was trading at $0.61369 by 07:22 (12:22 GMT) on the Investing.com Index on Thursday, up 10.83% on the day. It was the largest one-day percentage gain since July 13, 2023. The move upwards pushed XRP's market cap up to $33.13469B, or 1.84% of the total cryptocurrency market cap. At its highest, XRP's market cap was $83.44071B. XRP had traded in a range of $0.58605 to $0.61452 in the previous twenty-four hours. Over the past seven days, XRP has seen a rise in value, as it gained 5.42%. The volume of XRP traded in the twenty-four hours to time of writing was $2.62985B or 2.15% of the total volume of all cryptocurrencies. It has traded in a range of $0.5451 to $0.6145 in the past 7 days. At its current price, XRP is still down 81.35% from its all-time high of $3.29 set on January 4, 2018. Elsewhere in cryptocurrency trading Bitcoin was last at $47,118.8 on the Investing.com Index, up 3.52% on the day. Ethereum was trading at $2,650.62 on the Investing.com Index, a gain of 12.28%. Bitcoin's market cap was last at $921.65674B or 51.22% of the total cryptocurrency market cap, while Ethereum's market cap totaled $318.20071B or 17.68% of the total cryptocurrency market value. https://www.investing.com/news/cryptocurrency-news/xrp-climbs-11-in-rally-3272327

2024-01-11 11:43

Copyrighted Image by: Reuters Investing.com -- Bitcoin was trading higher on Thursday, while crypto-related stocks also rose, after the top U.S. securities regulator approved the first exchange-traded funds tracking the spot price of the digital asset. By 06:44 ET (11:44 GMT), Bitcoin had jumped 3.0% to $46,929.1. Meanwhile, individual stocks affiliated with the token advanced, including exchange platform Coinbase (NASDAQ:COIN) as well as crypto miners Marathon Digital (NASDAQ:MARA), Cipher Mining (NASDAQ:CIFR) and Riot Platforms (NASDAQ:RIOT). In a decision that is anticipated to have sweeping implications for the wider crypto industry, the U.S. Securities and Exchange Commission gave the green light on Wednesday to 11 applications from a range of issuers, including BlackRock (NYSE:NYSE:BLK) and Fidelity as well as digital currency asset manager Grayscale. Some proponents of Bitcoin, the world's most popular cryptocurrency, have claimed that the SEC's approval would spark a rush of demand into the token. Through a spot Bitcoin ETF, investors will have the chance to gain exposure to the digital asset without directly owning it. Detractors have, however, flagged that ETFs could persuade retail traders to pour money into a sector that has been beset with a spate of fraud-related scandals and huge volatility. The decision, which was backed by SEC Chair and known crypto-skeptic Gary Gensler, marked a U-turn for a commission that has largely been reticent to sign off on a spot Bitcoin ETF for much of the past decade. It also comes after hackers temporarily took control of the SEC's account on social media platform X on Wednesday and falsely claimed that the regulator had already approved the applications, sparking wild fluctuations in the price of Bitcoin. "We view today's approval as a landmark milestone in Bitcoin's short history, with substantial implications for long-term price appreciation," analysts at Cantor Fitzgerald said in a note to clients. https://www.investing.com/news/cryptocurrency-news/bitcoin-ticks-higher-after-sec-approves-first-etfs-tracking-cryptocurrencys-price-3272257

2024-01-11 11:37

Copyrighted Image by: Reuters ETF approval could send Bitcoin to $60,000 near term - deVere's Green Nigel Green, a long-term cryptocurrency advocate and CEO of the deVere Group, sees the landmark SEC approval of 11 spot Bitcoin ETFs on Wednesday sending the cryptocurrency higher - perhaps to $60,000 as soon as the end of March 2024. "This approval by the financial regulator of the world’s largest economy is a landmark moment for Bitcoin and the wider crypto market and boosts prices in the long-term, even if there’s a sell-off in the near-term," Green stated. Green cited five reasons for his near-term bullishness: First, he cited institutional validation. "The approval of Bitcoin ETFs represents a resounding institutional validation of the cryptocurrency, marking a departure from its initial reputation as a speculative and volatile asset," he commented. Second, is the likely influx of capital. "One of the primary catalysts for the anticipated surge in Bitcoin prices is the massive influx of capital that is expected to follow the approval of ETFs," Green noted. Third, is accessibility and liquidity. "Bitcoin ETFs help democratize access to the cryptocurrency market, allowing a broader range of investors to participate," he said. Fourth, he cited market integration and regulatory clarity. “As regulatory uncertainties dissipate, more and more institutional and individual investors can confidently engage with the crypto market, further reinforcing the legitimacy of Bitcoin," Green stated. And Fifth, Green cited increased global adoption. "As more countries embrace the idea of regulated Bitcoin ETFs, the cryptocurrency will likely gain further acceptance on the international stage, attracting a broader investor base and propelling prices to potentially new heights," Green added. "On a tidal wave of investor enthusiasm, we wouldn't be surprised if Bitcoin hits $60,000 this quarter – and higher moving forward throughout the year," he concludes. https://www.investing.com/news/cryptocurrency-news/etf-approval-could-send-bitcoin-to-60000-near-term--deveres-green-3272250