BlackRock’s Ethereum ETF reverse split to push ETHA price from $14 to $42

BlackRock is preparing a technical shakeup for one of its most closely watched crypto products. The asset manager has filed plans for an Ethereum ETF reverse split affecting its iShares Ethereum Trust ETF, ETHA, a move that will change the fund’s share price and trading mechanics without touching what investors actually own.

Key takeaways

• BlackRock will carry out a 1-for-3 reverse share split for ETHA, effective October 6, 2026, according to an 8-K filing submitted to the SEC.
• The split combines every three shares into one, raising net asset value per share while leaving total investment value unchanged.
• Analyst Eric Balchunas of Bloomberg estimates ETHA’s price will jump from about $14 to roughly $42, cutting trading costs from about 7 basis points to around 2.
• Shareholders don’t need to do anything; brokerages will process the consolidation automatically based on the October 5 record date.
• No fractional shares will be issued — any leftover fraction gets redeemed in cash, which may carry tax consequences.

BlackRock’s Planned Reverse Share Split for ETHA

The reverse split is a straightforward mechanical adjustment, not a change in strategy. Every three ETHA shares outstanding will be folded into one, and the fund’s sponsor already signed off on the plan before it reached regulators.

… Continue reading the full article at the original source below.