BlackRock has revealed its proposed bitcoin ETF’s ticker symbol, IBIT, as revealed in a recent filing with the Securities and Exchange Commission (SEC).
In this updated filing, there’s new information about how the fund will be created and redeemed. This has been a point of discussion between BlackRock and the SEC.
The new details hint at a method where cash is used for redemptions, which many analysts believe the SEC prefers.
However, the filing also suggests that an “in-kind” redemption process might still be possible, pending regulatory approval.
The filing mentioned that the fund will regularly issue and redeem units, primarily using cash. However, it was also noted that this could change to include bitcoin exchanges if approved by regulators.
Eric Balchunas of Bloomberg Intelligence commented that BlackRock’s decision leans towards cash transactions for now, indicating a shift in approach.
Also Read: BlackRock and SEC in 4th Round of Bitcoin ETF Approval Talks
