ISE Limits Bitcoin and Ethereum Options Trading on Nasdaq
Nasdaq ISE has decided to withdraw its proposals for trading options on Bitcoin and Ethereum exchange-traded funds (ETFs), as revealed in filings with the SEC. The exchange made this decision on Tuesday after receiving no comments following the publication of the proposal in the Federal Register on August 12, 2024. This move by Nasdaq ISE follows a trend seen with other exchanges recently.
Other exchanges like MIAX, MIAX Pearl, and BOX Exchange have also retracted their proposals for listing and trading options on spot Bitcoin ETFs. Cboe initially withdrew its application but later resubmitted it, indicating ongoing discussions with the SEC on this matter.
NYSE American LLC joined this wave on Thursday by withdrawing its proposal to list and trade options on the Bitwise Bitcoin ETF and the Grayscale Bitcoin ETF. These actions are taking place while the SEC has not yet approved trading for options products on spot Bitcoin and Ethereum ETFs.
Despite the withdrawals, Bloomberg Intelligence Analyst James Seyffart predicts that both Nasdaq and NYSE will likely resubmit their proposals for listing and trading options on spot Bitcoin ETFs in the near future. Seyffart mentioned on X that he expects them to follow the example set by CBOE in refiling their applications.
The recent series of withdrawals and potential resubmissions indicate a period of regulatory adjustment in the crypto ETF options market. This regulatory recalibration suggests that exchanges are navigating the evolving landscape of cryptocurrency trading options.
