Documents reveal BlackRock received $100,000 in seed funding last October from an unknown investor backing the asset manager's spot Bitcoin ETF application. The latest SEC filings offer peeks into BlackRock's planned fee structure as well.

According to the regulatory disclosure, the seed financier agreed to purchase 4,000 ETF shares at $25 each on October 27th — should BlackRock win approval to launch its proposed Bitcoin investment product.

The filing also outlined a unique trade credit approach allowing BlackRock to cover sponsor fees via short-term Bitcoin loans rather than selling holdings. This limits sale impacts on Bitcoin's price. Fees carry roughly 11% APR based on the federal funds rate.

ETF analyst Eric Balchunas called the revelations an interesting development in classic BlackRock fashion. The firm was among the first institutional giants to file for a Bitcoin ETF back in July, still awaiting a thumbs up from the SEC along with over one dozen rivals.

While the SEC has rebuffed multiple spot Bitcoin ETF applications thus far, market experts predict reasonable odds of first approvals materializing in early 2024 given recent signs of crypto market maturation.