#BTC BlackRock Revises Spot Bitcoin ETF Proposal Ahead of Rumoured SEC Approvals 🏦

Asset manager BlackRock has reportedly filed a revised spot bitcoin (BTC) ETF proposal with the ticker IBIT. The updated proposal reveals that Blackrock’s ETF will feature cash creation and redemption mechanisms. This means that investors in this ETF can redeem their shares for the cash value equivalent of the Bitcoin held by the ETF. Notably, this is the model favoured by the Securities and Exchange Commission (SEC) due to its reportedly ‘safer’ and more ‘accessible’ characteristics. The other redemption model is the ‘in-kind’ redemption structure, which enables firms to redeem shares for bitcoin held by their ETFs.