TechFlow news — On September 20, according to CryptoSlate, on September 16 BlackRock filed a document with the U.S. Securities and Exchange Commission (SEC) announcing amendments to its custody agreement with Coinbase, aiming to optimize the operational mechanisms of the iShares Bitcoin Trust ETF. The revision of the Coinbase Prime Broker agreement primarily focuses on improving withdrawal efficiency and refining asset management strategies during periods of unsettled transactions.
Under Section 2.1 of the revised custody services agreement, Coinbase Custody must process withdrawals of digital assets to public blockchain addresses within 12 hours of receiving instructions from the trust or its authorized representative—significantly shortening the asset withdrawal processing time. Additionally, the agreement allows the trust to withdraw bitcoin from Vault balances or trading balances to public blockchain addresses even when unsettled transaction credits exist, provided that an amount equivalent to the unsettled transaction credit is maintained in the total account balance after the withdrawal.
This agreement revision comes amid market scrutiny over Coinbase’s asset management practices. While Coinbase has not yet issued an official response to the related allegations, this adjustment may be seen as BlackRock proactively enhancing transparency and efficiency in ETF operations, potentially alleviating market concerns.
