NYSE's Arca Withdraws Application for Cryptocurrency ETF Options Trading
CryptoNewsTerminal Staff14 Aug, 2024
NYSE's Arca Withdraws Application for Cryptocurrency ETF Options Trading
NYSE’s Arca, an options exchange owned by the New York Stock Exchange (NYSE), has withdrawn its application for options trading on commodity-based trusts, including cryptocurrency exchange-traded products (ETPs). The application was filed in January 2023, seeking approval for options to be listed and traded on commodity-based trusts. It reportedly included options on cryptocurrency ETPs, such as the popular bitcoin (BTC) trust Grayscale Bitcoin Trust (GBTC). The withdrawal of the application comes as a setback for the cryptocurrency industry, which has been seeking greater access to traditional financial markets. Options trading on cryptocurrency ETPs would have allowed investors to hedge their positions and speculate on the price movements of cryptocurrencies. It remains to be seen whether NYSE Arca will refile its application or explore other avenues for launching cryptocurrency ETF options. The move highlights the challenges that the cryptocurrency industry faces in gaining acceptance from mainstream financial institutions.
