Coinbase (COIN) Shares, ETH Liquid Staking Tokens Surge on BlackRock ETH ETF Application

COIN shares immediately saw a surge in trading activity leading to a 5.14% increase in their stock price.

Coinbase Global Inc (NASDAQ: COIN) shares as well as tokens of some Ether (ETH) liquid staking platforms are reacting to reports that giant asset manager BlackRock has filed for a spot ether exchange-traded fund (ETF) recently. According to a Thursday report, BlackRock Advisors registered the iShares Ethereum Trust as a corporate entity in Delaware.

BlackRock’s Application for Spot ETH ETF Sends Tokens Soaring

The news was first greeted by an Ether urge that saw the asset reaching $2,131 – its highest level since the network’s Shanghai upgrade. As of publication, however, ETH has retraced a bit and was seen hovering between $2,115 and $2,120, maintaining over 10% gains in the last 24 hours.

Also reacting to the news about BlackRock’s potential spot ETH ETF filing is Coinbase stock price. COIN shares also immediately saw a surge in trading activity leading to a 5.14% increase in their stock price.

However, that did not exactly come as a surprise as Coinbase Global has been listed as the custodian for the Trust’s Ether holdings, per BlackRock’s filing. The statement reads in part:

“Coinbase Custody Trust Company, LLC (the “Ether Custodian”), is the custodian for the Trust’s ether holdings; and another entity will be the custodian for the Trust’s cash holdings (the “Cash Custodian”).”

By including Coinbase in its filing, BlackRock may have indirectly signed a vote of confidence in both the exchange and the asset itself. And that has not only helped to raise investor sentiment but also acted as the driving force behind the increase in its stock price.

In the same vein as COIN, governance tokens of Lido Finance (LDO) and RocketPool (RPL) have also jumped excitedly. The tokens are up 8% and 13% respectively, over the past 24 hours, per CoinMarketCap data.

The spot Ether ETF would hold the second-largest cryptocurrency as its underlying asset and track its price.

In related news, BlackRock filed for a spot Bitcoin ETF on June 15.  As Coinspeaker reported, the United States Securities and Exchange Commission (SEC) has officially opened the application for review, even as the entire market remains in full anticipation of approval.

Blockchain News, Cryptocurrency News, Funds & ETFs, Market News, News

Mayowa Adebajo

Mayowa is a crypto enthusiast/writer whose conversational character is quite evident in his style of writing. He strongly believes in the potential of digital assets and takes every opportunity to reiterate this.
He’s a reader, a researcher, an astute speaker, and also a budding entrepreneur.
Away from crypto however, Mayowa’s fancied distractions include soccer or discussing world politics.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *