U.S. SEC seeks public comment on the possibility of introducing Bitcoin spot ETF options trading
2024-02-25 00:35
Odaily News The U.S. SEC has solicited public opinions on the possibility of introducing Bitcoin spot ETF options trading, and experts predict that regulatory authorities may approve it as early as March. In a letter to the SEC on Friday, the New York Stock Exchange (NYSE) applied for a rule change to allow options trading on the Bitwise Bitcoin ETF (BITC), Grayscale GBTC and any trust holding Bitcoin. The NYSE said the Bitcoin spot ETFs qualify for options trading under U.S. exchange laws because they are commodity-backed exchange-traded products (ETPs). It also said that all exchange standard rules and regulations will guide all aspects of listing and trading of spot ETF options, including listing standards, expiration dates, exercise prices, minimum increments, position and exercise limits, margin requirements, customer Account and Trading Suspension Procedures”. In addition, Bitcoin spot ETF options will also be subject to the NYSEs continued listing standards, and can be delisted if the relevant ETF fails to meet certain standards under Section 916 of the U.S. Securities Act, among many other conditions. The SEC has officially acknowledged the NYSEs latest filing, adding the proposal to its official register and inviting public feedback over the next 21 days. (Bitcoinist) Earlier in January, Bloomberg analyst James Seyffart posted on the X platform that the New York Stock Exchange (NYSE) had previously submitted a 19b-4 application document to apply for the launch of options products for spot Bitcoin ETFs. In theory, the SEC could take up the matter and approve it quickly (the first deadline is within 60 days), but it could also be delayed repeatedly until late September or early October. But James Seyffart said there is still a chance the SEC will refuse to approve the product.
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