Crypto News- In a recent revelation, BlackRock and Valkyrie, the frontrunners in the race for a Bitcoin Exchange-Traded Fund (ETF), have unveiled their chosen allies, known as authorized participants (AP), as part of their strategic maneuvers within the stringent regulatory landscape. BlackRock, a heavyweight in asset management, has secured the backing of financial giant J.P. Morgan and quantitative trading firm Jane Street to execute Bitcoin acquisitions on its behalf, meticulously following regulations that restrict direct cryptocurrency purchases. Similarly, Valkyrie has strategically aligned with Jane Street and Cantor Fitzgerald as its authorized participants, a move seen as crucial in navigating the potential approval process.
Bitcoin ETF Gets Authorized Participants, with JPMorgan on Board, as BlackRock and Valkyrie Make Announcement
As the clock ticked down on the final day for updates, both BlackRock and Valkyrie took the proactive step of submitting revised S-1 forms to the Securities and Exchange Commission (SEC). While not a mandatory requirement, this transparency initiative sheds light on the entities entrusted with securing Bitcoin for the proposed ETF, a practice commonly observed among issuers of Exchange-Traded Funds.
The industry was abuzz with speculation as J.P. Morgan’s inclusion in BlackRock’s filing raised eyebrows. This was particularly noteworthy given the historical skepticism towards Bitcoin expressed by J.P. Morgan’s CEO, Jamie Dimon. Dimon, a vocal critic of cryptocurrencies, recently went on record stating his strong opposition and even suggesting a hypothetical ban on crypto if he were in a government position.
All eyes are now on the Securities and Exchange Commission (SEC), with the eagerly anticipated decision on the approval of a spot Bitcoin ETF expected to land between January 5 and 10. This impending verdict marks a pivotal moment for the cryptocurrency industry, carrying significant implications for its future trajectory.
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