EddieJayonCrypto
9 Apr 25
The US Securities and Exchange Commission (SEC) has approved options trading for Ethereum exchange-traded funds (ETFs) managed by BlackRock and Fidelity. The options will adhere to existing listing rules, including margin, strike intervals, series expiration cycles, and minimum trading increments. T...
The US Securities and Exchange Commission (SEC) has approved options trading for Ethereum exchange-traded funds (ETFs) managed by BlackRock and Fidelity. Nasdaq and Cboe will list and trade options on spot Ethereum ETFs managed by BlackRock and Fidelity. The approved options will adhere to existing listing rules, including a 25,000-contract position and exercise limit. The precedent set for spot Bitcoin ETF options trading will be followed for Ethereum ETF options trading.
The approvals follow a precedent set for spot Bitcoin ETF options, with trading likely to begin soon. Both Nasdaq and Cboe emphasized the conservative nature of the 25,000-contract cap, which was derived from a comparative analysis with other ETFs and commodity-based trusts. The approvals come after SEC authorization for spot Bitcoin ETF options in 2024, which began trading in November 2024. Requirements from other issuers are also likely to be approved, with trading starting in the same week as ETHA and FETH.