SEC Extends Review Period for Ethereum ETF Options Trading Until April 2025

SEC Extends Ether ETF Options Review to April 2025, Following BlackRock's Trading Request

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  • US regulators extend their review period for Ether ETF options until April 2025.
  • The decision specifically concerns Nasdaq ISE’s request to list options for BlackRock‘s iShares Ethereum Trust.
  • Current review focuses exclusively on ETHA options trading on Nasdaq’s electronic exchange.
  • The extension follows the recent approval of Bitcoin ETF options trading in 2024.
  • Other Ether ETFs remain listed on NYSE Arca and Cboe platforms.

The U.S. Securities and Exchange Commission has extended its deliberation period regarding Ether ETF options trading, pushing the decision deadline to April 2025. This development follows Nasdaq ISE’s application to list options contracts for BlackRock’s iShares Ethereum Trust (ETHA).

According to the regulatory filing, the SEC requires additional time to evaluate the implications of allowing options trading for Ether-based exchange-traded funds. This cautious approach contrasts with the relatively swift approval of Bitcoin ETF options earlier this year.

The proposed rule change would exclusively affect options trading for ETHA on Nasdaq’s electronic exchange. This specificity is significant because other Ether ETFs operate on different exchanges, including NYSE Arca and Cboe. Options trading, which allows investors to speculate on or hedge against price movements without owning the underlying asset, represents a crucial development in the maturation of cryptocurrency investment products.

This extended review period demonstrates regulators’ continued careful approach to cryptocurrency-based financial products, particularly as the market expands beyond Bitcoin-focused instruments. The decision timeline aligns with the SEC’s historical pattern of thorough evaluation for novel crypto investment vehicles.

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