BlackRock, a leading global asset manager, has announced its plans to acquire spot Bitcoin exchange-traded funds (ETFs) for its Global Allocation Fund (MALOX). The company’s updated filing with the United States Securities and Exchange Commission reveals that BlackRock intends to include physically backed Bitcoin ETFs as part of MALOX. This includes purchasing its own spot Bitcoin ETF, the iShares Bitcoin Trust (IBIT), as well as ETFs from other issuers. The filing specifies that MALOX will only invest in Bitcoin ETPs listed and traded on national securities exchanges.
The BlackRock Global Allocation Fund, established in 1989, aims to provide investment returns through a fully managed investment policy that utilizes US and foreign equity, debt, and money market securities. It includes investments in companies like Microsoft and Apple. As of March 7, MALOX manages $17.8 billion in assets.
MALOX is not the only BlackRock fund that plans to hold spot Bitcoin ETFs. The recent SEC filing update for the Strategic Income Opportunities Fund (BSIIX) on March 4 indicates BlackRock’s interest in this area.
BlackRock’s iShares Bitcoin Trust, which debuted trading on January 11, has become the fastest-growing spot Bitcoin ETF. Its BTC holdings have increased by over 7,000%, from 2,621 BTC to 187,531 BTC as of March 7, 2024. At present, the Bitcoin holdings of IBIT are valued at $12.6 billion.
In addition to the spot Bitcoin ETF, BlackRock is actively pursuing a spot Ether ETF with US regulators. In November 2023, the company filed a Form S-1 application for its iShares Ethereum Trust with Delaware’s Division of Corporations. Analysts and observers speculate whether US financial regulators will approve the launch of a spot ETH ETF in 2024, considering that it took over a decade for the SEC to support a spot Bitcoin ETF in the United States.
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