ChainCatcher news, on Friday, Nasdaq submitted a revised rule filing on behalf of BlackRock, allowing the BlackRock iShares Bitcoin Trust to conduct in-kind redemption. Typically, when investors want to sell an ETF, they receive redemption proceeds in cash. In-kind redemption means that investors can choose to redeem using the underlying assets (i.e., Bitcoin) that the ETF is invested in.In the year leading up to the Securities and Exchange Commission (SEC) approving a spot Bitcoin ETF, various companies have been discussing the specific technical details of how this product would conduct redemptions. The SEC tends to favor cash redemptions, which means that when investors want to redeem their Bitcoin ETF shares, the fund management company (such as BlackRock) must first sell the Bitcoin it holds and then return the cash obtained from the sale of Bitcoin to the investors.

According to ChainCatcher news, as disclosed by "Live Report", investors wishing to subscribe to the Bosera HashKey spot Bitcoin ETF need to have a brokerage account. On T day, they must submit a "share creation instruction" through the broker and simultaneously deposit cash/holdings into the account, waiting for the Hong Kong Central Clearing and Settlement System (HKSCC) to create ETF shares. ETF shares can be received on T+2 days. When redeeming, investors can choose to sell in the primary/secondary market. If redeeming in the primary market, they need to submit a "share redemption instruction" through the broker on T day. After the HKSCC cancels the ETF shares, cash redemption will be received on T+3 days, while physical redemption will be received immediately on T+0 days.

ChainCatcher news, Fox senior reporter Charles Gasparino posted that the U.S. Securities and Exchange Commission (SEC) is holding a joint conference call with potential spot Bitcoin ETF applicants. Sources indicate that the SEC aims to ensure that cash is used when purchasing the ETF, rather than Bitcoin, and requires issuers to remove any implications of physical redemption from their documents.This means that issuers must convert their Bitcoin to cash before trading ETF shares. In other words, they cannot use Bitcoin to buy or redeem shares. It is understood that the cash creation route means that ETF issuers must convert Bitcoin to cash in each transaction, which is a longer and more complex process that requires the issuers to buy Bitcoin themselves, rather than through brokerage firms.

ChainCatcher news, Bloomberg analyst James Seyffart pointed out on social media that BlackRock seems to have had discussions with the U.S. Securities and Exchange Commission (SEC). The focus of the discussion was on the impact of in-kind versus cash creation redemption models on their planned Bitcoin ETF product.The shared slide materials indicate that BlackRock prefers the in-kind redemption method, which is considered the clearest and most effective approach for them and the ultimate investors. This model allows ETF issuers to handle redemptions by distributing or receiving physical assets instead of cash, which may be more advantageous in terms of asset management and tax treatment.

ChainCatcher news, luxury brand Louis Vuitton has launched its first exclusive digital collectible "Speedy 40 VIA Pharrell Williams" for holders of the digital luggage VIA Treasure Trunk, aimed at commemorating its iconic Speedy 40 handbag. Louis Vuitton will open physical redemption in January 2024.