BlackRock Boss Says Ether Being Classified As A Security Won’t Ruin Chances Of Spot ETH ETF Approval

Larry Fink, the CEO of $10 trillion asset management giant BlackRock, is convinced that spot Ethereum-based exchange-traded funds (ETFs) could still launch in the U.S. even if ETH ends up being designated a security.

Why Spot ETH ETF Is Still Possible

BlackRock CEO Larry Fink isn’t concerned about the U.S. Securities and Exchange Commission (SEC) labeling Ethereum a security.

During an appearance at Fox Business on March 27, Fink confirmed that BlackRock — which has seen astounding success with its spot Bitcoin (BTC) exchange-traded fund launched in January — could still introduce an ether-based ETF even if the underlying asset, ETH, is deemed a security.

As ZyCrypto reported earlier this month, the SEC is putting serious effort into trying to categorize ether as a security token and has sent investigative subpoenas to multiple companies in recent weeks. This caused concern over whether the SEC’s actions would derail plans for spot ETH ETFs.

However, BlackRock CEO’s conviction is a remarkable note of bullishness. “I don’t think that [security] designation is going to be that deleterious,” he told Fox Business.

Roughly seven potential providers, including BlackRock, have filed paperwork with the SEC to launch spot Ethereum ETFs on U.S. exchanges. The securities regulator has until May to make its final decision. Experts have voiced skepticism, citing the SEC’s lack of engagement with the applications as a negative signal.

Fink Is ‘Very Bullish’ On BTC

During the interview, Fink also said that he was “pleasantly surprised” by the outstanding performance of his company’s iShares Bitcoin Trust (IBIT) ETF and reiterated he’s “very bullish” on the alpha cryptocurrency in the long term.

“IBIT is the fastest growing ETF in the history of ETFs. Nothing has gained assets as fast as IBIT in the history of ETFs,” the BlackRock boss opined.

Meanwhile, BlackRock’s head of digital assets, Robert Mitchnick, recently disclosed that there was very little demand for Ethereum from their clients. Altcoins see essentially no demand, as per Mitchnick. He indicated that Bitcoin remains the top priority for the investment behemoth