Chicago Board Options Exchange (CBOE) recently refiled its application for Bitcoin ETF options after withdrawing it in the first place.
The new application is now 44 pages long, more detailed, and covers significant issues raised by the regulators. Experts have claimed that the Bitcoin ETF options may get the green light sometime before the end of Q4 2024.
CBOE Resubmits Bitcoin ETF Application After SEC Feedback
The CBOE’s updated application came after the SEC feedback suggested possible ongoing discussions. The annex has additional information on position limits and market manipulation. This is essential information that the SEC may have queried.
The CBOE could thus resubmit the application and tactically refresh the decision period, possibly setting the last decision date to April 2025.
Bloomberg ETF analyst James Seyffart said the new application could be a sign of getting closer to approval. This comes after the SEC of America is expected to make its final ruling on Bitcoin ETF affairs by September 21. However, OCC and CFTC still have to do something to initiate trading options.
Bitcoin ETF Options Expected to Expand Market Strategies
However, analysts expect it to be approved by the end of 2024. This is seen by analysts as the CBOE’s over-preparedness, including the detailed resubmission, as evidence of its ability to meet the requirements.
Also, the resubmission strengthens the need for more Bitcoin ETFs on the market. This may lead to adopting new investment methods such as covered call writing.
Nate Geraci, the president of the ETF store, mentioned the possibility of trading options on some of the cryptocurrency derivatives ETPs.
This supports the need for options on spot Bitcoin ETFs, thus increasing market expectations. If adopted, these options will provide the investors with another way of managing risks and earning income.
NYSE Seeks Approval for Ether ETF Options
Meanwhile, the New York Stock Exchange (NYSE) has submitted a new rule change to list and trade Ether ETF options. This proposal focuses on the three Ether ETFs, Grayscale and Bitwise, and seeks to develop the options market further in the cryptocurrency market.
The working group will submit the proposal to the SEC, and the latter should consider the working group’s comments within 21 days.
The allowance of options trading on Ether ETFs would benefit investors by increasing their options to trade Ether at a lower price.
If the rule change is approved, it will apply only to the Grayscale and Bitwise Ether ETFs trading on the NYSE American exchange. This step also proves the increased focus on cryptocurrency derivatives among digital assets.
