BlackRock, in a shocking move, filed its fifth amendment to its spot Bitcoin ETF application with the SEC naming JPMorgan Chase and Jane Street as authorized participants. The asset manager’s decision comes weeks after JPMorgan CEO Jamie Dimon criticized Bitcoin and cryptocurrency calling it “gold without a government” and suggesting it should be banned.
JPMorgan CEO Jamie Dimon Has Been Critical Of Bitcoin
BlackRock, in a shocking move, filed its fifth amendment to its spot Bitcoin ETF application with the SEC naming JPMorgan Chase and Jane Street as authorized participants. The asset manager’s decision comes weeks after JPMorgan CEO Jamie Dimon criticized Bitcoin and cryptocurrency calling it “gold without a government” and suggesting it should be banned.
In a separate filing, Valkyrie said it also has engaged Jane Street Capital and Cantor Fitzgerald & Co. for the same role. The inclusion of JPMorgan Chase in the BlackRock filing raises several questions due to CEO Jamie Dimon’s stance.
Speaking at the Capitol Hill during a questioning from Sen. Elizabeth Warren, Dimon had said: “I’ve always been deeply opposed to crypto, bitcoin, etc. The only true use case for it is criminals, drug traffickers … money laundering, tax avoidance. If I was the government, I’d close it down.”
What do Authorized participants exactly do? APs are allowed to create and redeem shares of an ETF. These organizations can either exchange ETF shares for a corresponding basket of securities that reflects the ETF’s holdings, or exchange them for cash.
“Lining up APs won’t exactly be a layup for every prospective issuer, so this was an important step. Based on everything we know at this point, BlackRock is the first issuer to complete the SEC’s requirements in order to be considered for inclusion in the first wave of spot-Bitcoin ETF approvals,” Nate Geraci, president of The ETF Store, said.
Meanwhile, the SEC has till January 10 to decide whether to approve a spot Bitcoin ETF application filed by ARK Investment Management LLC and 21Shares.
