Spot Bitcoin ETF Options on Hold: SEC Pushes Back Decision Date
The US Securities and Exchange Commission (SEC) has pushed back its decision on allowing options trading for ETFs directly tied to Bitcoin's price.
Because Bitcoin
April 10, 2024
The Block reported that the US Securities and Exchange Commission (SEC) has pushed back its decision on allowing options trading for ETFs directly tied to Bitcoin's price. The new deadline is May 29th, 2024.
The NYSE filed the proposal in February, and it would apply to several existing spot Bitcoin ETFs. It could also potentially include any future ETF that holds Bitcoin directly.
The SEC is taking its time with this decision. Although they had the chance to approve or reject the NYSE's request within 45 days, they opted for an extension. Interestingly, only two public comments were submitted during the initial comment period.
This delay could be significant for the NYSE. If approved, options trading on spot Bitcoin ETFs could become a major product for the exchange. However, the potential impact isn't entirely clear. While options trading on a gold ETF (GLD) has high volume, the price difference between GLD and Bitcoin futures ETFs (BITO and BITX) is significant.
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