Bitcoin ETF Race Heats Up with 13th Entrant as BlackRock Revises Model

Swiss asset manager Pando Asset joins the race

Swiss asset manager Pando Asset has unexpectedly entered the race for a spot Bitcoin exchange-traded fund (ETF) in the United States. Pando submitted a Form S-1 to the Securities and Exchange Commission (SEC) for the Pando Asset Spot Bitcoin Trust, aiming to track Bitcoin's price with the custody arm of crypto exchange Coinbase.

13 bidders now vying for SEC approval

Pando becomes the 13th bidder hoping to secure approval for a spot Bitcoin ETF in the US. Other firms in the race include BlackRock, ARK Invest, and Grayscale. However, Bloomberg ETF analyst Eric Balchunas has raised questions about Pando's filing, wondering why it came so late in the game.

Concerns about fair play and society

Balchunas has also expressed concern over the implications if Pando's ETF is approved alongside others on Jan. 10. He questioned what this would mean for fair play and society as a whole. Fellow Bloomberg ETF analyst James Seyffart believes that Pando's ETF may not be ready to launch on the same day as others, but noted that anything is possible.

BlackRock meets with SEC to address concerns

Meanwhile, BlackRock met with the SEC to discuss its ETF bid and presented a revised redemption model. The revision addresses the SEC's concerns about balance sheet impacts and risks to US broker-dealers dealing with offshore crypto entities. The new model involves the offshore entity obtaining Bitcoin from Coinbase and pre-paying the US registered broker-dealer in cash, as they are not allowed to handle Bitcoin directly.

Overall, the Bitcoin ETF race is intensifying with Pando Asset's unexpected entry and BlackRock's revised model. The approval of a spot Bitcoin ETF on Jan. 10 could have significant implications for the cryptocurrency industry and society at large.