BTC-Newswire

SEC Delays Decision on Options Trading for Ethereum ETFs, Pushing to November

Press Releases Crypto News BeInCrypto SEC Delays Decision on Options Trading for Ethereum ETFs, Pushing to November

On September 23, 2024, the US Securities and Exchange Commission (SEC) published two separate notices announcing the extension of its review periods for multiple Ethereum ETFs.

BlackRock’s iShares Ethereum Trust (ETHA), Bitwise’s Ethereum ETF (ETHW), along with Grayscale’s Ethereum Trust (ETHE), and Ethereum Mini Trust (ETH) are among the funds awaiting the regulatory body’s approval for options trading.

Options Trading for Spot Ethereum ETF on Hold: SEC Takes Extra Time for Review

These funds had initially faced a decision deadline of September 26 and 27, 2024, respectively. The SEC has now extended this deadline to November 10 and 11, 2024.

The decision to delay comes under Section 19(b)(2) of the Securities Exchange Act. This rule allows the SEC to extend its review period if additional time is needed to evaluate the implications of approving such financial products. In the case of BlackRock’s ETHA, the SEC explained that it required “sufficient time to consider the proposed rule change.”

BeInCrypto reported that BlackRock filed the proposal of options trading for its ETHA product via Nasdaq ISE in July 2024. In a similar filing by NYSE American LLC, Bitwise and Grayscale also sought approval for options trading on their Ethereum-based ETFs.

The SEC’s cautious approach to Ethereum ETFs comes on the heels of its approval of options trading for Bitcoin ETFs. Last week, BlackRock received approval for options trading on its iShares Bitcoin Trust (IBIT). However, the SEC’s green light came with strict limits to reduce market manipulation risks.

The proposals to introduce options trading for Go to Source to See Full Article
Author: Lynn Wang

Did you like this?
Tip BTC Newswire with Cryptocurrency