In the latest developments within the cryptocurrency sector, BlackRock, the leading global asset manager, is set to introduce a Bitcoin exchange-traded product (ETP) in Europe. This initiative follows the remarkable success of BlackRock’s US spot Bitcoin ETF, the iShares Bitcoin Trust (IBIT), which garnered $57 billion in net assets since its launch in January 2024. The European Bitcoin ETP is anticipated to be based in Switzerland, with marketing efforts expected to commence later this month.
In parallel, the Trump administration is moving to regulate stablecoins by emphasizing USD-backed assets. David Sacks, Trump’s crypto adviser, emphasized the goal of enhancing stablecoin innovation within the US. Stablecoins, primarily comprising USD-pegged assets like Tether’s USDT, represent a $227 billion industry. Sacks highlighted the potential of stablecoins to bolster international dollar dominance and generate substantial demand for US Treasurys, thus potentially reducing long-term interest rates.
Amid these regulatory shifts, the US Securities and Exchange Commission (SEC) is scaling back its crypto-focused unit, with some staff reassigned to other departments. This reorganization follows leadership changes triggered by President Trump’s appointment and the resignation of former SEC Chair Gary Gensler. The SEC is also exploring retroactive relief for token offerings, reflecting a broader reassessment of its regulatory approach in the crypto space.
