Cboe Shrinks Bitcoin ETF Option Steps for Slicker Trades
Published Date: 4/3/2026
Notice
Summary
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!
Analyzed Economic Effects
4 provisions identified: 3 benefits, 1 costs, 0 mixed.
MBTX options tick-size lowered
If you trade options on the Cboe Mini Bitcoin U.S. ETF Index (MBTX), the Exchange allows minimum trading increments of $0.01 for series priced below $3.00 and $0.05 for series priced at $3.00 or higher. The rule change was approved on an accelerated basis and will take effect while IBIT options participate in the Penny Interval Program.
Finer ticks may narrow spreads
The Exchange expects the $0.01 and $0.05 increments to allow more granular pricing, which may narrow bid-ask spreads, increase available price points, and boost liquidity—especially for short-dated MBTX option series. The filing states this finer pricing lets investors hedge and price options more precisely.
Increments conditional on IBIT Penny Program
The permitted $0.01 (below $3.00) and $0.05 (at/above $3.00) increments for MBTX options apply only while iShares Bitcoin Trust ETF (IBIT) options participate in the Penny Interval Program. If IBIT options cease participation in that program, the MBTX increments are conditioned accordingly.
Levels playing field with IBIT and futures
Allowing penny and nickel increments is intended to let MBTX options better compete with IBIT, BITO, and FBTC options and with Micro Bitcoin futures; the Exchange notes IBIT option volume was nearly 25 times the next-most-active component and reports a correlation of approximately 0.9999 between MBTX and IBIT. The rule is intended to align MBTX pricing granularity with those competitor products.
Your PRIA Score
Personalized for You
How does this regulation affect your finances?
Sign up for a PRIA Policy Scan to see your personalized alignment score for this federal register document and every other regulation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.
Key Dates
Department and Agencies
Related Federal Register Documents
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.
2026-06463 — 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
Big stock market players like exchanges and trading groups want to start charging fees for sharing important stock data. They updated their plan after hearing feedback, and now the SEC is deciding if these new fees are fair and should go live. If approved, this could change how much it costs to get stock info starting soon.
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.
2026-06474 — Self-Regulatory Organizations; Cboe BZX 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 the Definition of “Indicative Price” Under Exchange Rule 11.23(a)(10) and Amend Exchange Rule 11.23(d)(2)(B) (Extending the Quote-Only Period for Initial Public Offering (“IPO”) Auctions)
Cboe BZX Exchange is updating its rules to make IPO auctions smoother by changing how the “Indicative Price” is defined and giving more time for quote-only periods during IPO auctions, especially for exchange-traded products (ETPs). This helps traders get better price info and more time to place quotes, making IPOs fairer and more efficient. These changes kick in quickly and could impact how IPOs are priced and traded on the exchange.
Previous / Next Documents
Previous: 2026-06474 — Self-Regulatory Organizations; Cboe BZX 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 the Definition of “Indicative Price” Under Exchange Rule 11.23(a)(10) and Amend Exchange Rule 11.23(d)(2)(B) (Extending the Quote-Only Period for Initial Public Offering (“IPO”) Auctions)
Cboe BZX Exchange is updating its rules to make IPO auctions smoother by changing how the “Indicative Price” is defined and giving more time for quote-only periods during IPO auctions, especially for exchange-traded products (ETPs). This helps traders get better price info and more time to place quotes, making IPOs fairer and more efficient. These changes kick in quickly and could impact how IPOs are priced and traded on the exchange.
Next: 2026-06476 — Determination of Regulatory Review Period for Purposes of Patent Extension; ZIIHERA
The FDA has set the official review period for the drug ZIIHERA, which helps the company extend its patent protection. This affects the patent holder and anyone interested in the drug’s approval timeline. If you think the dates are wrong or want to challenge the company’s review speed, you have until June 2 or September 30, 2026, to speak up—potentially impacting how long the patent lasts and when generics can enter the market.
Take It Personal
Get Your Personalized Policy View
Start a Free Government Policy Watch to see how policy affects your household, then upgrade to PRIA Full Coverage for year-round monitoring.
Already have an account? Sign in