In a significant development for the cryptocurrency market, the proposed iShares spot Bitcoin exchange-traded fund (ETF) by global investment firm BlackRock has been listed on the Depository Trust & Clearing Corporation (DTCC). This listing has raised expectations of potential approval by the United States Securities and Exchange Commission (SEC), according to Bloomberg ETF analyst Eric Balchunas.

The listing on the DTCC, which clears NASDAQ trades, marks an important step in the process of bringing a crypto ETF to the market. The iShares spot Bitcoin ETF carries the ticker symbol IBTC and is potentially slated for listing on the Nasdaq stock exchange. BlackRock initially applied to list and trade shares of this investment vehicle in June, aiming to provide investors with exposure to Bitcoin via an ETF structure.

Balchunas noted the importance of this milestone, stating, "This is the first spot ETF listed on DTCC, none of the others on there (yet)." He further commented, "Definitely notable that BlackRock is leading the charge on these logistics—seeding, ticker, DTCC—that tend to happen just prior to launch. It's hard not to view this as them getting a signal that approval is certain/imminent."

Speculation has emerged that BlackRock may have already received approval for the ETF's listing from the SEC or is in the process of preparing for it. The SEC, considering BlackRock's application date, has until January 10, 2024, to make a final decision on the approval or denial of the iShares spot Bitcoin ETF.

Should BlackRock's application receive approval, it could pave the way for numerous other spot crypto ETF filings currently under review by the SEC, including those from prominent entities like ARK Investment, Fidelity, and Valkyrie. It is worth noting that although the SEC has not yet approved a spot Bitcoin or Ether application for listing on a U.S. exchange, it expanded its acceptance of investment vehicles tied to Bitcoin futures in October 2021.

The listing of the iShares spot Bitcoin ETF on the DTCC comes on the heels of a mandate issued by a U.S. appellate court, enforcing an earlier decision that requires the SEC to review a spot BTC ETF application from Grayscale Investments. On October 19, Grayscale submitted a registration statement to the SEC, aiming to list shares of its Bitcoin trust on the New York Stock Exchange Arca under the ticker symbol GBTC.

As the crypto industry eagerly awaits the SEC's decision on BlackRock's iShares spot Bitcoin ETF, this latest development indicates progress towards greater institutional adoption and mainstream recognition of cryptocurrencies as investment assets.