Nasdaq Bitcoin Options Launch: Trade Crypto Without the Coins
Published Date: 2/24/2025
Notice
Summary
Nasdaq PHLX wants to start trading options based on the Nasdaq Bitcoin Index, which tracks Bitcoin’s price in real time. These options will be cash-settled and follow European-style rules, meaning they can only be exercised at expiration. This new product could open fresh ways for investors to bet on Bitcoin’s price, with the SEC now asking for public feedback before it goes live.
Analyzed Economic Effects
5 provisions identified: 4 benefits, 1 costs, 0 mixed.
New Bitcoin Index Options Listed
Nasdaq PHLX proposes to list a new option product with ticker XBTX called Nasdaq Bitcoin Index Options. These options are cash-settled, European-style (can only be exercised at expiration), and are based on the CME CF Bitcoin Real Time Index (BRTI).
Position Limits and Large-Position Reporting
Position limits for Nasdaq Bitcoin Index Options would be 250,000 contracts on the same side of the market, with no more than 150,000 near-term contracts. Any member or member organization holding more than 100,000 contracts on the same side must file a report with the Exchange (market makers are exempt).
Final Settlement Uses BRRNY--NOS
The final settlement value for these options will be the CME CF Bitcoin Reference Rate—New York Variant (BRRNY) on the option expiration date (usually a Friday). BRRNY will be divided by 100 to create the published settlement value BRRNY--NOS used for cash settlement.
Trading Hours for Bitcoin Options
Nasdaq Bitcoin Index Options would trade on the Exchange from 9:30 a.m. to 4:15 p.m. Eastern time, except on the last trading day when trading ends at 4:00 p.m. Eastern time. These hours match other index options on Phlx.
Pricing Increments and Strike Intervals
Nasdaq Bitcoin Index Options would be quoted and traded in U.S. dollars with a minimum price increment of $0.01 for all series. Strike price intervals of no less than $2.50 are generally permitted when the strike price is less than $200.
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Key Dates
Department and Agencies
Related Federal Register Documents
2026-06475 — Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing of Amendment No. 1 and Order Granting Accelerated Approval of a Proposed Rule Change, as Modified by Amendment No. 1, To Amend Cboe Rule 5.4
Cboe Exchange is changing the smallest price step for options on its Mini Bitcoin ETF Index to make trading smoother and clearer. This change affects traders using these options and kicks in quickly after approval, with no extra costs involved. The SEC gave this update a fast green light, so expect the new rules to start soon!
2026-06469 — Self-Regulatory Organizations; BOX Exchange LLC; Notice of Filing of Proposed Rule Change To Amend BOX Rules 5055 (FLEX Equity Options) and 3120 (Position Limits)
BOX Exchange wants to update its rules for special options tied to popular Bitcoin and Ethereum ETFs and trusts. These changes affect traders using FLEX equity options and position limits, aiming to keep things fair and clear. The new rules could impact how much traders can hold and trade, with the proposal open for public comments starting April 2026.
2026-06473 — Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing and Immediate Effectiveness of a Proposal To Amend the Exchange's Anti-Internalization Functionality in Equity 4, Rule 3307, and To Extend the Implementation Date of the CORE FIX Order Entry Protocol
Nasdaq PHLX is updating a rule that helps stop trades from accidentally happening within the same firm, which keeps trading costs down. They’re also pushing back the start date for a new order entry system called CORE FIX. These changes affect traders using Nasdaq PHLX and aim to make trading smoother without extra costs, with the new system launch delayed to give everyone more time to get ready.
2026-06462 — Self-Regulatory Organizations; 24X National Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Adopt a Monthly Enterprise Fee for Its Depth of Book Proprietary Market Data Feed
24X National Exchange is starting a new monthly fee for companies using its special market data feed that shows detailed order info. This change affects businesses that rely on this data and kicks in right away, meaning they’ll pay a set monthly charge to access it. It’s a clear move to keep the data service running smoothly and fairly.
2026-06466 — Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing and Immediate Effectiveness of a Proposal To Amend the Exchange's Anti-Internalization Functionality in Equity 4, Rule 4757, and To Extend the Implementation Date of the CORE FIX Order Entry Protocol
Nasdaq is updating a rule that helps stop trades from accidentally happening within the same firm, which keeps trading fair and lowers costs. They’re also pushing back the start date for a new order entry system called CORE FIX to give everyone more time to get ready. These changes affect traders using Nasdaq and aim to make trading smoother without extra fees or delays.
2026-06463 — Joint Industry Plan; Notice of Filing of Amendment No. 1, and Order Instituting Proceedings To Determine Whether To Approve or Disapprove an Amendment to the National Market System Plan Regarding Consolidated Equity Market Data, as Modified by Amendment No. 1, To Adopt a Fee Schedule
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Previous / Next Documents
Previous: 2025-02940 — Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing of a Proposed Rule Change, as Modified by Amendment No. 1, To List and Trade Options on the Grayscale Ethereum Trust ETF, the Grayscale Ethereum Mini Trust ETF, and the Bitwise Ethereum ETF
Cboe Exchange is gearing up to let traders buy and sell options on three new Ethereum-related ETFs: the Grayscale Ethereum Trust ETF, the Grayscale Ethereum Mini Trust ETF, and the Bitwise Ethereum ETF. This change means more ways for investors to play in the crypto market starting soon, with potential new money moves and trading opportunities. The SEC is reviewing the plan and inviting public feedback before it goes live.
Next: 2025-02942 — Self-Regulatory Organizations; the Options Clearing Corporation; Notice of Withdrawal of a Proposed Rule Change To Update the Options Clearing Corporation's Schedule of Fees
The Options Clearing Corporation (OCC) decided to pull back its plan to raise fees for clearing options contracts and remove a big flat fee for large trades. This means traders and firms won’t see any fee changes for now, keeping costs steady. The withdrawal happened in February 2025 after some feedback from the public.
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