Bitcoin: BlackRock Delays $10 Million BTC Purchase, Here’s Why

Bitcoin (BTC), the biggest cryptocurrency by market cap, started 2024 on a high note. BTC surpassed the $45k mark for the first time since March 2022, in almost 22 months. Moreover, many in the cryptocurrency space are ecstatic about a possible spot BTC ETF (Exchange Traded Fund) approval by the US SEC (Securities and Exchange Commission).

Also Read: MicroStrategy Bitcoin Now Sits At $2.65 Billion Profit

BlackRock, one of the spot BTC ETF applicants, had plans to purchase $10 million worth of Bitcoin (BTC) on Jan. 3, 2024. However, according to reports, the world’s largest asset manager has postponed its BTC purchase plan. The purchased BTC would have gone for the seed creation basket.

It is unclear why BlackRock has postponed its Bitcoin (BTC) purchase. The asset manager may be working out things with its spot BTC ETF. Moreover, the SEC may delay its decision on the ETF. Hence, the asset manager may have decided to postpone its BTC purchase.

According to reports, BlackRock has pushed its BTC purchase date to Jan. 5, 2024.

Will the SEC approve a spot Bitcoin ETF this month?

Many analysts have predicted that the SEC will approve one or more spot BTC ETF applications by Jan. 10, 2024. Other analysts have also said that an early January date seems plausible.

Also Read: Coinbase says it has Extensively Prepared for Bitcoin ETF Approval

However, the financial watchdog may delay its decision due to technical reasons. The SEC is also in legal battles with some of the biggest crypto firms, such as Coinbase. Last year, the SEC partially lost its case against Ripple, which it accused of selling unregistered securities. However, a district court ruled that selling XRP to retail clients did not breach securities laws. The SEC has also postponed every deadline for a spot BTC ETF in 2023. There is no confirmation if the agency will do the same in 2024.