BlackRock met with the SEC on May 9 to discuss crypto ETP rules, staking, and tokenization.
SEC’s next roundtable on tokenization is scheduled for Monday. BlackRock has met with the U.S. Securities and Exchange Commission’s Crypto Task Force to address crypto regulatory concerns. The meeting, held on May 9, focused on staking, tokenization, and exchange-traded product (ETP) rules, according to a public memorandum.
During the session, BlackRock representatives discussed how staking features could be added to crypto ETPs. They emphasized the need to balance investor protections with innovation. The firm also shared views on structuring crypto ETPs under current securities regulations.
Additionally, BlackRock raised questions about options on crypto ETFs. The firm requested clarity on how to set positions and exercise limits. Liquidity thresholds and underlying asset characteristics were also part of the discussion. These talks followed the SEC’s recent approval of options trading on spot Ethereum ETFs, including BlackRock’s.
Tokenization and Compliance Talks
BlackRock also discussed tokenization. The firm asked for feedback on integrating tokenized assets into the federal securities framework. Tokenization involves representing real-world assets as digital tokens on blockchain networks.
The meeting followed a similar session on April 1, where BlackRock explored staking and ETP rules. This time, the conversation expanded to include tokenization. Representatives from BlackRock’s regulatory affairs, legal, digital assets, and ETF divisions attended both meetings.
BlackRock reviewed its digital asset offerings, such as the iShares Bitcoin Trust (IBIT), the iShares Ethereum Trust (ETHA), and the BlackRock USD Institutional Digital Liquidity Fund (BUIDL). It sought guidance on how these and future products might comply with federal rules.
The company also proposed interim standards for crypto ETP issuers. It encouraged the SEC to offer codified guidance ahead of final rulemaking. The discussion touched on Section 6(b) of the Exchange Act, including criteria like market integrity and investor protections.
BlackRock’s growing crypto presence includes $5.4 billion in Bitcoin-related equities, as disclosed in its Q1 2025 13f filing. The firm also reported $32 million in revenue from its iShares Bitcoin Trust during the same period. Highlighted Crypto News Today Bitcoin ETF Inflows Top $321M as Institutional Demand Surges.
