Key Takeaways
- Options trading on BlackRock’s Ethereum ETF could be approved.
- The BlackRock Bitcoin and Ethereum ETF now command over $21 billion in AUM combined.
- BlackRock is rebranding all active ETFs from “BlackRock iShares” to “iShares.”
BlackRock and Nasdaq want to make access to spot Ethereum (ETH) exchange-traded funds (ETFs) even easier and more accessible to investors.
How? By proposing a rule change to the U.S. Securities and Exchange Commission (SEC), which will allow them to list and trade options for its Ethereum ETF.
Ethereum ETF Options
As per the jointly submitted proposal from BlackRock and Nasdaq, the duo is seeking a rule change to introduce options trading the iShares Ethereum Trust (ETHA).
Options will allow investors to buy or sell the ETF stock at a predetermined price before a set date. This is a popular tool frequently seen in trading, especially crypto. The aim is to extend the investment tools available for Ethereum and make it more accessible.
“The exchange believes that offering options on the Trust will benefit investors by providing them with an additional, relatively lower cost investing tool to gain exposure to spot ether,”
Bloomberg ETF analyst James Seyffart explained that the SEC has a 21-day deadline to comment on the proposal. The SEC’s final decision is expected in early April 2025.
BlackRock ETFs Up Top
Regardless of market conditions, BlackRock’s crypto ETFs are one of 2024’s ongoing crypto success stories. According to Nate Geraci, President of ETF Store, BlackRock’s Ethereum ETF could be ranked in the top 10% of “all new ETFs” launched in 2024.
BlackRock’s Bitcoin ETF, the BlackRock iShares Bitcoin Trust (IBIT), has been the top-performing crypto fund with over $20 billion in cumulative net inflows since launching in January 2024. Significantly, the fund has seen only one day of net outflows, a meager $36.9 million.
The firm’s newly launched iShares Ethereum Trust (ETHA) has also been the success story of Ethereum ETFs. Since July 23, 2024, ETHA has garnered a cumulative inflow of $869.89 million, more than double that of its nearest competitor.
With such gigantic flows, Geraci thinks IBIT occupies a spot in the top ten ETF launches of 2024. If the proposed rule change to allow options trading of ETHA is approved, we could see the fund join the ranks of IBIT.
iShares Rebranding
According to a post from ETF analyst Eric Balchunas, BlackRock is moving to rebrand all of its ETFs from “BlackRock iShares” to just “iShares.”
Bloomberg ETF analyst James Seyffart chimed in on the news, saying that he isn’t completely described, explaining:
“I cant tell you how many people on this site have replied to me saying that i left the BlackRock Bitcoin or Ethereum ETF off from some list because they dont know iShares *is* BlackRock.“
It may be a small move, but it’s not insignificant. Given iShares’s brand recognition, Seyffart thinks it’s just a strategic decision so that their active funds don’t use a different brand name than their passive funds.
Eddie is a gaming and crypto writer at CCN. Covering the often weird and wonderful world of Web3 with an adoring, but skeptical eye.
Prior to CCN, Eddie has spent the past seven years working his way through the crypto, finance, and technology industry. He began with PR and journalism with Bitcoin PR Buzz and BitcoinNews.com, eventually working his way to become a copywriter with a dozen firms, including the likes of Polkadot before returning to journalism in 2023.
Having studied Radio production and journalism at University in the UK, Eddie spent a few years making podcasts and presenting on a local London radio station as he built up his writing chops.
A lifelong skateboarder, Eddie can often be found at the skatepark or touring the streets looking for something new to try. That, or kicking back playing JRPGs on his original PSP.
