By NewsBTC - 9 months ago - Reading Time: 2 minutes
Coinbase Stock Soars Nearly 12% As BlackRock Reveals Surveillance Partnership
Coinbase, a prominent United States cryptocurrency exchange, has recently witnessed an upswing in its COIN share prices. This surge comes on the heels of the world’s largest asset manager, BlackRock, choosing Coinbase as a surveillance partner for its re-filed Bitcoin ETF application.
In the limelight of this crypto-mainstream finance crossover, Coinbase’s shares have soared by a nearly 12% over the past day.
Renewed BlackRock Application Spurs Coinbase Growth
Nasdaq disclosed on July 3 that BlackRock, the eminent entity in worldwide asset management, had updated its proposal for a spot Bitcoin ETF, incorporating new specifics about a ‘surveillance-sharing agreement’ with Coinbase.
This news triggered a bullish response in the market, and Coinbase shares skyrocketed, marking a significant day in the crypto market landscape. The details in the application outline an agreement between Nasdaq and Coinbase forged last month.
The pact, intended to “supplement the exchange’s market surveillance program,” provides Nasdaq access to spot BTC trade data. The report revealed that should BlackRock’s Bitcoin ETF gain approval, Nasdaq expects to leverage the data obtained from Coinbase in surveilling the trading.
Notably, the regulatory landscape around cryptocurrencies in the US remains a hotbed of speculation and anticipation. While the Security and Exchange Commission (SEC) has granted approval to a number of futures-based ETFs, a spot-based one, physically backed by the asset as opposed to CME contracts, has not yet been given the green light.
Refiled applications for multiple companies looking to launch spot BTC funds emerged last week, facilitated by Cboe. This includes Fidelity, WisdomTree, VanEck, and Invesco, all of which have listed Coinbase as a surveillance-sharing partner, further amplifying Coinbase’s critical role in the process.
Nate Geraci, the President of ETF Store, believes that the launch of a spot Bitcoin ETF will shatter previous ETF launch records. It is worth noting that with such optimistic industry sentiments, Coinbase’s crucial part in this narrative solidifies their importance.
COIN Surges Nearly 12%
In response to BlackRock’s endorsement, Coinbase shares saw an upsurge of nearly 12% in the past day. Consequently, COIN is trading just below $80, at the time of writing up by 11.71%. The company stock has since been in a bullish trend since the beginning of 2023, outpacing the crypto market, which has gained roughly over 50% in the same period.
Particularly, larger crypto assets such as Bitcoin and Ethereum have seen a massive surge since the year began, and BTC currently trades above $30,000 after briefly trading at $31,000 yesterday.
Ethereum on the other hand has followed the BTC movement closely, surpassing the $1,900 mark. Currently, the asset is looking to break past the $2,000 region as it trades at a price of $1,952, at the time of writing.
Featured image from Shutterstock, Chart from TradingView
Original source: NewsBTC