Wall Street goliath BlackRock is making a bold bet on Ethereum, filing to launch a spot ETF trust to give mainstream investors access to the world’s second-largest cryptocurrency.
The move signals growing confidence in Ethereum’s potential for mass adoption as BlackRock looks beyond just Bitcoin to expand its crypto offerings.
BlackRock’s iShares Ethereum Trust registered last week will hold ether directly rather than futures, allowing stock and ETF investors an easy avenue to gain “pure” exposure to the asset.
It follows BlackRock’s spot bitcoin ETF application in June as the company leans in on cryptocurrencies amid easing regulatory headwinds.
A court victory for Grayscale’s spot bitcoin ETF in August has opened the floodgates for fresh crypto ETF filings after years of roadblocks.
Ethereum recently soared to multi-month highs above $2,100 but has pulled back to around $2,038 as of Thursday.
BlackRock aims to scoop up market share from crypto incumbents like Grayscale as demand explodes for regulated crypto investment vehicles.
However, the company still faces an uphill battle in getting SEC approval. Concerns around custody, manipulation and volatility remain despite crypto’s recent bull run.
