The details were presented by BlackRock to the officials at the U.S. Securities and Exchange Commission (SEC) late last month in its proposed "In-kind Redemption Prepay."
The MicroStrategy co-founder made a bold prediction in the past saying the crypto asset would trade at $5 million and replace gold, and the conditions he enumerated are now nearly met.
In its recent filing, the spot Bitcoin ETF registration underlined that it will only use cash creations in response to the SEC's instruction to use the cash redemption model.
BlackRock once again sat with some SEC officials — something it appears to have been doing regularly over the past weeks as anticipation for the possible SEC decision on spot Bitcoin ETF applications heightens.
Data indicate that investors are still focused on Bitcoin, the world's largest crypto asset by market capitalization, with an inflow of $20 million, recording a year-to-date total of $1.7 billion.
The recent development suggests that the SEC could be ironing out details before finally approving some spot Bitcoin ETF applications.
As the king of crypto briefly sunk below the $41,000 price level, it caused over $270 million worth of long positions to be liquidated.
Bitcoin was trading in the red zone at $43,950, which means the software and business intelligence company is now sitting on an unrealized profit of $2.390 billion.
After BlackRock submitted another amended prospectus last week, VanEck followed suit with its fifth amendment, showing a unique Bitcoin ETF ticker, HODL.
While BlackRock's Bitcoin ETF listing pushed the value of Bitcoin to a new high, Fidelity's listing did not have the same impact on the price of the "king of crypto."
The ongoing discussions include "substantive details, some of which are usually discussed near the end of an ETF application process," a report has claimed.
Bukele said that it has never been El Salvador's objective to sell its Bitcoin and while he confirmed that they are well aware the crypto asset's price will fluctuate, he underlined that it does not impact the country's long-term strategy.
Industry experts and ETF analysts scrutinized the amended prospectus and discovered that BlackRock had seeded its ETF on Oct. 27. It was the same month when the crypto community found the Bitcoin ETF ticker of the firm listed on the website of the Depository Trust and Clearing Corporation.
Over the past weeks, Bitcoin continued to rally, pushing its value up on the anticipation that the U.S. Securities and Exchange Commission (SEC) would soon announce the country's first-ever spot Bitcoin exchange-traded fund.
The substantial Bitcoin investment by MicroStrategy has yielded a significant return, a growth that began under the leadership of its current executive chairman, Michael Saylor, starting in August 2020.
While the act is viewed as operational or part of the process before its launch, for some, it is a positive indication that the U.S. will have a spot Bitcoin ETF very soon.
A report attributed the surge to "a culmination of various factors, including a notable shift in the dynamics of the futures market compared to the spot market."
On the eve of the potential approval of multiple spot Bitcoin ETF filings, rumor has it that the major issue now concerns whether the SEC would allow in-kind creations.
Although timelines on the approval of spot Bitcoin ETF filings are uncertain, Grayscale said it remained "focused on uplisting GBTC to NYSE Arca as a spot Bitcoin ETF."
The crypto market is currently a sea of green, as Bitcoin, the world's largest crypto asset by market cap, leads the digital assets in a price rally that benefited most crypto holders.
The king of crypto pushed through the $41,000 price level without much resistance with short positions on BTC contracts, immediately liquidating as much as $54 million.
However, Bitcoin's latest move also caused $190 million worth of liquidated derivates, $150 million of which was in short positions.
The price rally of Bitcoin, which started in October, also fueled speculations that it would touch $40,000 or higher by the end of 2023.
The latest BTC acquisition is MicroStrategy's second consecutive BTC purchase in the past couple of months since it acquired 155 BTC for around $5.3 million at the start of November.
Bloomberg Intelligence ETF analysts predict that there is a 90% likelihood that the U.S. Securities and Exchange Commission will approve the much-awaited spot Bitcoin ETF applications by Jan. 10.
With BlackRock's revised in-kind model proposal, it remains to be seen if the SEC would change its mind.
The SEC's latest move on Franklin might also apply to Hashdex, analyst James Seyffart said, adding it might set in motion what industry watchers, including ARK Invest's Cathie Wood, have been discussing earlier about a potential full wave of approvals.
These metrics show Bitcoin holders' reluctance to sell while buyers look for BTC supply, which is one of the factors why the king of crypto reached a new year-to-date high of $38,410 on Nov. 24.
Last week, American investment management firm ARK Invest sold more GBTC shares, specifically 163,722, to earn $5.02 million.
The world's first-ever crypto asset continued to reach new heights as its price lingered between the $37,000 and $38,000 price territory.
