On the evening of November 9, regulatory documents showed that BlackRock registered the iShares Ethereum Trust in Delaware. BlackRock has taken the first step towards applying for an Ethereum spot ETF. Because before that, BlackRock also registered the iShares Bitcoin Trust in a similar way 7 days before submitting the Bitcoin spot ETF application to the SEC.

As soon as the news came out, ETH jumped from below $1,900 to above $2,000.

BlackRock submits ETH spot ETF application, Coinbase as custodian

A few hours after Delaware filed its documents, Nasdaq’s filing confirmed BlackRock’s plans for an Ethereum ETF, revealing that BlackRock will seek to list the product on a U.S. stock exchange after obtaining regulatory approval.

According to the document, BlackRock has chosen the US cryptocurrency exchange Coinbase to be the custodian of the ETH held by the product, while an unnamed third party will hold its cash. BlackRock has also signed a market surveillance agreement with Coinbase. Based on the experience of previous Bitcoin spot ETF applications, such regulatory sharing agreements seem to be the key to such ETFs being approved by the US Securities and Exchange Commission.

In order to prevent possible objections from the SEC regarding monitoring sharing, BlackRock also pointed out in the application email that the price of CME Group's ether futures (and there are already ETFs holding these futures) is very consistent with the spot ETH price. It is believed that if CME can either monitor and discover spot market fraud in futures ETFs and spot exchanges, or monitoring cannot do this for any type of product.

BlackRock's application also makes the market more confident about the ETH spot ETF. Bloomberg analyst James Seyffart said that according to public information, there are currently five Ethereum spot ETF applications, namely Vaneck, ARKInvest/21Shares, Hashdex, Invesco US/Galaxy, and Grayscale submitted documents for converting ETHE.

It is worth mentioning that according to Fox Business Network reporter Charles Gasparino, BlackRock said it is increasingly confident that the US SEC will approve its spot Bitcoin ETF in January. According to previous news, the SEC will open an eight-day window period and may approve all 12 Bitcoin spot ETFs. In theory, the SEC can make a decision on nine of the ETFs at any time between now and January 10, 2024.

Crypto market prices "riot", long and short positions exploded by nearly $500 million

Last night, shortly after ETH skyrocketed, the market suddenly reversed and plummeted. Bitcoin also soared from around $35,000 to just under $38,000 on the news, and then quickly fell to around $36,300, and ETH also fell below $2,000 at one point.

Compared with the decline of mainstream assets, altcoins have seen sharp pullbacks and spikes. Projects such as TRB, which led the market a few days ago, have fallen even more sharply. SOL fell from US$48 to US$41, and Ordi also fell from US$20 to US$15. The drastic market shocks caused high-leverage contract players to lose their positions.

According to Coinglass data, as of 9:00 a.m. on November 10, the cryptocurrency market had a total of $493 million in liquidation contracts in the past 24 hours, including $219 million in long orders and $274 million in short orders. By currency, BTC had a liquidation of about $167 million, accounting for the largest proportion, and ETH had a liquidation of about $81.9512 million. The largest single liquidation occurred on OKX - BTC-USDT-SWAP, worth $14.7616 million.

As of now, the market has stabilized again, with Ethereum concept coins leading the rise, such as its Staking concept coins, Lido (LDO), Rocket Pool (RPL), SSV Network (SSV), etc., all of which have increased by nearly 20%.