BlackRock Ethereum ETF Is Bearish Says Blockstream CEO Adam Back

Adam Back, Blockstream CEO has slammed BlackRock Ethereum ETF push as he believes this celebrated move is a bearish one
By Godfrey Benjamin
BlackRock To Challenge USDT And USDC's Dominance With New Proposal

The news about BlackRock Ethereum ETF filing with the United States Securities and Exchange Commission (SEC) does not seem pleasing to Blockstream CEO Adam Back as he took to the X app to declare that the move is bearish and impacts BlackRock’s credibility.

Advertisement
Advertisement

Criticism of BlackRock Ethereum ETF

On Thursday, the BlackRock Ethereum ETF filing with the SEC was officially announced. The move underscores the recent adoption and integration of crypto with the traditional financial ecosystem. Also, it suggests an applaud-worthy evolution in crypto which impacts the general market dynamics and investor sentiment.

Rather than accolades, the BlackRock Ethereum ETF which marks a significant milestone for the multi-trillion dollar asset manager has attracted criticism instead. Back compared the underlying cryptocurrency of BlackRock’s new endeavor and other altcoins to “scammers clawing at the gate like a horde of zombies.”

It is worth noting that the new BlackRock critic Adam is a known Bitcoin maximalist and his criticism may have stemmed from a place of prejudice that the investment asset manager is deviating its focus on the flagship cryptocurrency. 

Advertisement
Advertisement

The BlackRock iShares Ethereum Trust

Prior to this official lodging with the SEC, the top asset management firm had earlier registered its interest for its first Ethereum spot ETF product dubbed iShares Ethereum Trust, in Delaware with the Department of State Division of Corporations. Its latest filing for the BlackRock Ethereum ETF with the SEC is one of the two-step processes involved when applying a spot ETF product. 

The filing which is for Form S-1 stated that the iShares Ethereum Trust aims to “reflect generally the performance of the price of Ether.” The appointed custodian for the Trust is Coinbase Custody Trust Company while the proposed ETF benchmark is CME CF Bitcoin Reference Rate from administrator CF Benchmarks, a subsidiary of Kraken.

Noteworthy, all of these selections are in sync with those made for its spot Bitcoin ETF application which was made earlier in June. BlackRock’s latest move confirms that the asset management firm is not interested in Bitcoin alone but is also willing to explore other cryptocurrencies. However, BlackRock has clarified that it is not associated with the controversial iShares XRP ETF that got the crypto market buzzing recently.

Advertisement
Godfrey Benjamin
Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on X, Linkedin
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.