NYSE's Ethereum Funds Options Await Prolonged SEC Scrutiny
Published Date: 2/13/2025
Notice
Summary
The NYSE American wants to let people trade options on three Ethereum-related funds: Bitwise Ethereum ETF, Grayscale Ethereum Trust, and Grayscale Ethereum Mini Trust. The SEC is taking extra time to decide if this rule change is a good idea, so the decision is delayed. This affects investors interested in Ethereum options and could open new ways to trade crypto-linked products soon.
Analyzed Economic Effects
2 provisions identified: 1 benefits, 1 costs, 0 mixed.
Options on Three Ethereum Funds Proposed
The NYSE American filed to amend Exchange Rule 915 to permit the listing and trading of options on the Bitwise Ethereum ETF, the Grayscale Ethereum Trust, and the Grayscale Ethereum Mini Trust. Amendment No. 1, submitted February 5, 2025, narrowed the proposal to those three funds (File No. SR-NYSEAMER-2024-45).
SEC Extends Review Deadline to April 10, 2025
The Securities and Exchange Commission designated a longer period to decide on the proposed rule change and set April 10, 2025 as the date by which it must approve or disapprove the proposal. The 180-day date from publication was February 9, 2025, and April 10, 2025 is 240 days from the Federal Register notice of August 13, 2024.
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Previous: 2025-02553 — Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of Designation of a Longer Period for Commission Action on a Proposed Rule Change To List and Trade Options on the iShares Ethereum Trust
Nasdaq ISE wants to let people trade options on the iShares Ethereum Trust, a popular crypto fund. The SEC is taking extra time to review this idea because they got some feedback and want to be sure it’s safe and fair. This means folks interested in trading these options might have to wait a bit longer before it’s official.
Next: 2025-02555 — Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Designation of a Longer Period for Commission Action on a Proposed Rule Change To List and Trade Shares of the BondBloxx Private Credit Trust Under BZX Rule 14.11(f), Trust Issued Receipts
The SEC is taking extra time to decide if the Cboe BZX Exchange can list and trade shares of the BondBloxx Private Credit Trust. This affects investors interested in this new trust and means the decision deadline is now March 30, 2025, giving regulators more time to review. No money changes yet, just a longer wait to see if this new investment option gets the green light.