A document titled “BlackRock iShares XRP Trust” was submitted to the Delaware Secretary of State on Monday. If genuine, it would have indicated that BlackRock, the $8.5 trillion asset management, is planning to file an ETF application for XRP, similar to the one it submitted last week for Ethereum. The fifth biggest digital asset, XRP, saw its price increase by 12% in 30 minutes as news of the filing spread. When it became apparent that BlackRock had not submitted the application, XRP collapsed erasing the gains from the news.
The Delaware Division of Corporations will notify the Delaware Department of Justice about a fraudulent document issued on November 13. The bogus file stating that BlackRock, an asset management, formed a “iShares XRP Trust” was reported to state officials on November 14, according to a statement released by the Delaware Department of State.
Our only comment is that this matter has been referred to the Delaware Department of Justice.The spokesperson said
The difficulties of establishing a Trust using a fictitious name and legal organization and the accompanying verification procedure has been called into question. According to Delaware’s official website, a new corporate corporation may be formed by following seven simple steps, all of which seem to be completed using interactive PDF forms.
An entity must appoint a registered agent in the State of Delaware, which may be a legal entity authorized to conduct business in the state or an inhabitant. This appears to be the most essential requirement. Nevertheless, it appears that a mere replication of the name and address from another filing would suffice, if that is all that is required. The imposter in this instance appeared to have done little more than copy and paste the registered agent’s information from the legitimate filing; Daniel Schwieger, a managing director at BlackRock, was the beneficiary.
Although BlackRock established an Ethereum trust in Delaware on November 9, the listing of any spot cryptocurrency ETF has yet to receive approval from the U.S. Securities and Exchange Commission.