The SEC has approved Bitcoin ETF options.

The U.S. Securities and Exchange Commission (SEC) has approved the listing of options for Bitcoin exchange-traded funds (ETFs). This decision encompasses 11 ETF providers on the NYSE and CBOE and is seen as a development that will bring the expected vitality to the markets. This step, which offers new opportunities for investors, heralds a more stable period in the Bitcoin market.

Life Support for Cryptocurrency Markets: A New Financial Era with Bitcoin Options

The U.S. Securities and Exchange Commission (SEC) has approved options trading for Bitcoin exchange-traded funds (ETFs). The recently made decision covers applications from the New York Stock Exchange (NYSE) and the Chicago Board Options Exchange (CBOE).

Within the NYSE, 11 different ETF providers will be able to conduct options trading. Among these providers are Fidelity, ARK21Shares, Invesco Galaxy, Franklin, VanEck, WisdomTree, Grayscale, Bitwise, BlackRock, and Valkyrie.

The CBOE has obtained the right to offer options on spot Bitcoin ETFs with a rule change that will come into effect in August 2024. This change approved by the SEC categorizes other Bitcoin ETF options alongside commodity-based ETFs, except for the Grayscale Bitcoin Mini Trust.

Experts predict that this development will have positive implications for the Bitcoin market. Bitwise manager Jeff Park stated that the new regulation offers a safer alternative compared to decentralized platforms and could alleviate the bottlenecks in high-leverage trading.

Tom Dunleavy from MV Global expressed that with the introduction of options, Bitcoin's volatility would decrease and it would gradually achieve a more stable structure. This situation has the potential to provide investors with a more predictable and secure environment.

Market observers believe that the SEC's decision could mark the beginning of a new era in the cryptocurrency ecosystem and increase the interest of traditional financial institutions in Bitcoin.