Investment management company Black rock has responded to rumors of the approval of its Bitcoin Spot ETF application by the US Securities and Exchange Commission (SEC), which caused quite a stir among the cryptocurrency community.
Blackrock CEO Responds to Claims About Bitcoin Spot ETF
On Monday, crypto news outlet Cointelegraph posted on X (formerly Twitter) that the US Security and Exchange Commission (SEC) has issued a long-awaited application of Bitcoin Spot ETFbut later withdrew the report. However, the message caused excitement within the crypto community, causing the Bitcoin price to rise rapidly.
The price of the cryptocurrency rose to almost $30,000 earlier today after the alleged message was posted by Cointelegraph yesterday. However, the cryptocurrency’s price fell almost immediately after the report was found to be false Blackrock’s CEO Larry Fink and other prominent voices in the crypto community.
Eleanor Terrett was the first to do so report that this news was false after speaking to BlackRock and that the company’s Bitcoin Spot ETF is still under review by the US regulator.
BTC spikes following fake Spot BTC ETF approval news | Source: BTUCSD on Tradingview.com
In a interview with Fox Business, Fink, who said he didn’t hear about the “news” until hours later because he was extremely busy all day, took a fairly positive stance on the event. According to the CEO, he noted that Monday’s event only reinforced the global need and desire for a Bitcoin spot ETF.
“I think today’s rally is about a flight to quality, with all the issues surrounding the Israeli war now and global terrorism,” Fink said. “I think there are more people seeing a flight to quality, whether that’s in government bonds, gold or crypto, depending on how you think about it. And I believe that crypto will play such a role, as a flight to quality.”
The SEC also confirmed that the alleged news report was false and that the filing is still pending. “Be careful what you read on the internet. The best source of information about the SEC is the SEC.” the after read.
So far, CoinTelegrah has done that apologized with a notice on X for the false report it posted “which led to the spread of inaccurate information.” The crypto media channel later Posted the result of an internal investigation which revealed that a team member had posted the ‘news’ without editorial approval.
Crypto tracker Coinglass revealed that short trading positions of investors betting on lower prices were liquidated to the tune of more than $104 million within 24 hours as a result of the fake news.
Featured image from Shutterstock, chart from Tradingview.com