PANews reported on January 25 that according to The block, Nasdaq submitted a rule change proposal to the US SEC to update the relevant regulations of the iShares Bitcoin Trust. The update will allow the transfer of trust bitcoins in the form of "physical transfer".

“The Exchange now proposes to amend the prior rule document’s statement of purpose regarding the Trust’s creation and redemption process in order to list and trade the Shares, specifically to permit the Trust’s in-kind transfer of Bitcoin,” according to the new filing. “The proposed in-kind transfer process would be an alternative to the Trust’s current cash creation and redemption process.”

Bloomberg ETF analyst James Seyffart tweeted that the potential revised process would not mean individual investors would be able to conduct “in-kind” redemptions and creations, only authorized participants.