BlackRock Amends Coinbase Custody Agreement for Bitcoin ETF, Requires 12-Hour Withdrawals

Sep 23, 2024, 02:43 PM

BlackRock has amended its custody agreement with Coinbase for its Bitcoin ETF, requiring Coinbase to process Bitcoin withdrawals to a public blockchain address within 12 hours of receiving instructions. This change, detailed in a new SEC filing, aims to address investor concerns over Coinbase's on-chain settlement practices and allegations that it was selling 'paper Bitcoin' to ETFs. The amendment updates Section 2.1 of the Custodial Services Agreement, enhancing operational frameworks and improving liquidity for investors. The amendment comes amid debt rumors and was reported by Cointelegraph.