Nasdaq Resubmits BlackRock’s Bitcoin ETF Offering with SEC
Nasdaq (NDAQ.O) has officially resubmitted an application to the U.S. Securities and Exchange Commission (SEC) with the intention of listing a bitcoin exchange-traded fund (ETF) managed by BlackRock Inc (BLK.N). This information was disclosed in a filing that was made public on Monday. The revised submission, filed on Thursday, incorporates supplementary information and effectively resolves the concerns raised by the regulatory authority regarding the initial filings, which were deemed to lack clarity and completeness. Coinbase Global Inc (COIN.O) has announced its commitment to offering market surveillance services in order to bolster the proposed ETF by the world’s largest asset manager.
The digital asset industry is currently experiencing renewed interest after a challenging year in 2022. This period was characterized by the downfall of various cryptocurrency ventures, notably the highly publicized collapse of FTX, under the leadership of Sam Bankman-Fried. Coinbase has recently faced legal action from the Securities and Exchange Commission (SEC) due to its alleged non-compliance with exchange registration requirements. According to the recent filing by Cboe for the Fidelity bitcoin ETF, it has been disclosed that their platform was responsible for approximately 50% of the total U.S. dollar-bitcoin trading volume during the month of May. In a recent submission to a Manhattan federal court, Coinbase has expressed its intention to seek the dismissal of the SEC lawsuit. The company contends that the regulatory body does not possess the necessary jurisdiction to pursue civil claims, as the digital assets traded on its platform do not meet the criteria of “investment contracts” or securities.
The Securities and Exchange Commission (SEC) has previously declined multiple applications for spot bitcoin exchange-traded funds (ETFs), including a submission from Fidelity in January 2022. The regulatory body has consistently asserted that the submitted filings failed to adhere to the established standards aimed at preventing fraudulent and manipulative practices, while also safeguarding the interests of investors and the general public.