The U.S. Securities and Exchange Commission is expediting a decision regarding spot Bitcoin ETF-based options products. Bloomberg analyst James Seyffart revealed key details, highlighting the accelerated timeline and the likelihood of approval by the end of February.
Decision within 27 days or more
The SEC has officially confirmed the 19b-4 filing for an options product based on the spot Bitcoin ETF. Bloomberg Intelligence’s James Seyffart points out that this speed is much faster than the SEC’s typical 19b-4s filing timeline, which takes 14 days in most cases.
His expected approval date is before the end of February. He also stated that the earliest decision is expected to come in 27 days or more and that his maximum deadline is set for around September 21, 2024.
Key documents and dates
Several filings were made, including SR-NYSEARCA-2024-06 by NYSE Arca, SR-ISE-2024-03 by Nasdaq ISE, LLC, and SR-CBOE-2024-005 by Cboe Exchange, Inc. Each document seeks approval for: Options trading related to Bitcoin ETF, with public comment invited within 21 days of publication in the Federal Register.
Nasdaq’s proposal for options trading on BlackRock’s spot Bitcoin ETF is currently under investigation by the SEC. The SEC has begun a 21-day public comment period considering revising its trading standards to facilitate options trading on the iShares Bitcoin Trust.
What are your future plans?
In addition to Bitcoin, major firms such as BlackRock and Fidelity are vying to endorse a spot in the Ethereum ETF. The SEC has extended the deadline for Fidelity’s Ethereum fund decision until March 5. Fidelity cites a previous court ruling that questioned the SEC’s inconsistency in approving futures-based products while rejecting spot cryptocurrency ETFs without a clear rationale.