#NASDAQ has just submitted a rule change proposal, allowing large investors to withdraw Bitcoin directly from BlackRock's Bitcoin ETF instead of receiving cash, marking a new step forward in the crypto ETF market.

1. Converting Cash to Bitcoin: Notable Changes

#blackRock is preparing to update its iShares Bitcoin ETF. According to a proposal from Nasdaq, this ETF will allow large investors to withdraw Bitcoin directly instead of having to sell Bitcoin through market makers to receive cash.

This means that investment organizations can receive back the original Bitcoin without going through multiple intermediaries, optimizing the process and reducing selling pressure on the Bitcoin market.

2. History and Changes Under the New Administration

When the Bitcoin ETF was first approved by the U.S. Securities and Exchange Commission (SEC) in January 2024, while Joe Biden was still president, the regulation required investors to withdraw cash. This regulation was seen as inconvenient, especially for investors who wanted to hold $BTC .

However, everything is changing rapidly under President Donald Trump. Gary Gensler, who previously led the SEC and was known for his strict stance on crypto, has stepped down. A dedicated crypto group within the SEC has been established, aiming to build more transparent regulations for the industry.

Last week, the SEC also repealed the SAB 121 rule, a controversial regulation that made it harder for banks to hold crypto assets. This is an important stepping stone to pave the way for new proposals from Nasdaq.

3. Positive Impact on the Bitcoin Market

According to James Seyffart, an ETF analyst at #Bloomberg , allowing direct Bitcoin withdrawals will simplify the trading process. This not only reduces the amount of Bitcoin sold when ETFs receive withdrawal requests but also helps ease the pressure on Bitcoin prices in the market.

Seyffart also noted that eliminating SAB 121 will bring about many more positive changes in the near future, paving the way for new improvements in the crypto ETF sector.

4. Significance for Investors

With this change, BlackRock not only improves flexibility for large investors but also asserts its pioneering position in adopting new solutions for the digital asset market.

Conclusion: Allowing direct Bitcoin withdrawals from the ETF will enhance the appeal of this investment type while strengthening confidence in the crypto industry amidst increasingly clearer regulations.

Warning: Investing in Bitcoin and crypto assets carries high risks. Please do thorough research before making a decision.