CBOE Seeks SEC Approval for Bitcoin and Ethereum Options

CBOE Seeks SEC Approval for Bitcoin and Ethereum Options

The Chicago Board Options Exchange (CBOE) has submitted an amended application to the Securities and Exchange Commission (SEC) to list options tied to Bitcoin and Ethereum spot exchange-traded funds (ETFs). CBOE believes spot crypto ETFs meet the necessary criteria to serve as underlying assets for options trading, comparable to well-established instruments like the SPDR Gold Shares (GLD) and the iShares Silver Trust (SLV). The CBOE's application follows similar attempts by the New York Stock Exchange (NYSE) and Nasdaq International Securities Exchange (ISE), which filed and subsequently withdrew applications for Bitcoin spot ETF options products. This latest move by CBOE signifies continued efforts by exchanges to offer regulated and accessible investment vehicles for institutional and retail investors seeking exposure to cryptocurrencies. If approved by the SEC, CBOE's Bitcoin and Ethereum options would provide investors with additional strategies for managing risk and participating in the growing digital asset market. Options allow investors to speculate on or hedge against price movements without directly holding the underlying asset. CBOE's application highlights the crescente demand for regulated and transparent investment products in the crypto space, and its approval would further legitimize the asset class. As the regulatory framework for cryptocurrencies continues to evolve, it's likely that other exchanges will follow suit in seeking to offer options and other derivatives tied to spot crypto ETFs.