The largest US crypto exchange, Coinbase is considering a possibility of running a bitcoin-ETF. For this purpose, the platform began to consult with the investment company Black Rock, Business Insider writes. Sources familiar with the situation say that the company wants to give access to its products to a wide range of customers.
In June, Coinbase launched an index fund for accredited investors from the US and is going to extend the offer to retail investors. In addition, the company can make an investment basket bound not only to one bitcoin (Bitcoin) but to several cryptocurrencies.
It is known that the company is going to use the experience of BlackRock’s working group on the cryptocurrency market. Coinbase has not yet received any specific recommendations. According to the source of Business Insider, BlackRock itself is not interested in the launch of bitcoin-ETF.
WHY IS IT IMPORTANT?
- Applications for the launch of a bitcoin-ETF in the US were previously filed by other major firms, such as Gemini and VanEck. Their documents have been declined by regulators. Sources in the US Securities and Exchange Commission (SEC) reported that it intends to reconsider their refusal to the latest nine applications. In addition, on September 30, the regulator will review an earlier postponed application from VanEck.
- Earlier this week, the CEO Abra Bill Barhydt said that the that the applicants, whose documents had already been rejected by regulator did not meet the Commission's requirements regarding the financial profile and personal archetype. In his opinion, in order to receive an approval an applicant to the SEC "looks, feels and smells" the way the watchdog wants them. He noted that there is a greater chance to get approval from authoritative institutions.