SEC delays decision on options trading for BlackRock and Bitwise spot Ethereum ETFs

The U.S. Securities and Change Fee (SEC) has postponed its choice to permit choices buying and selling for BlackRock and Bitwise’s spot Ethereum (ETH) exchange-traded funds (ETFs) till mid-November, in response to filings dated September 24 .

The brand new deadlines for BlackRock and Bitwise are November 10 and November 11, respectively. The SEC acknowledged that it wanted extra time to think about the proposal and prolonged the preliminary 45-day overview interval that may have ended on September 26 for BlackRock, as Nasdaq had filed for the rule change for the iShares Ethereum Belief ETF on July 22.

The identical reasoning was utilized to Bitwise’s ETHW, which had its choice date pushed again to November 11, because the proposed rule change was filed a day after BlackRock’s.

Choices are an enormous deal for crypto ETFs

BlackRock’s iShares Bitcoin Belief (IBIT) obtained SEC approval for choices buying and selling on September 20.

Bloomberg senior ETF analyst Eric Balchunas mentioned this was a “big win” for Bitcoin (BTC) ETFs as they are going to appeal to extra liquidity and, consequently, extra “huge fish.”

Matthew Sigel, head of digital asset analysis at VanEck, additionally shared a report from K33 Analysis on September 24, highlighting that Bitcoin’s derivatives market is 279x smaller than its fairness and commodity counterparts.

Notably, the amount of Bitcoin choices traded on the highest 5 centralized crypto exchanges between September 1 and 22 was equal to roughly $33.3 billion.

In the meantime, the amount of Ethereum choices throughout the identical interval was solely $9.2 billion, greater than thrice smaller than that of Bitcoin. So Ethereum ETFs have much more room for development because of the addition of choices buying and selling by the SEC.

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Gino Matos

Reporter at CryptoSlate

Gino Matos is a regulation graduate and a seasoned journalist with six years of expertise within the crypto trade. His experience focuses totally on the Brazilian blockchain ecosystem and developments in decentralized finance (DeFi).

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Assad Jafri

Editor and reporter at CryptoSlate

A passionate journalist since Yemen’s Arab Spring in 2011, AJ has honed his abilities globally for greater than a decade. Specialised in monetary journalism, he now focuses on crypto reporting.