SEC Delays BlackRock's Ethereum Options ETF Decision to April 2025
1min read The U.S. Securities and Exchange Commission (SEC) has postponed its decision on BlackRock's proposal to list and trade options on its spot Ethereum exchange-traded fund (ETF) until April 9, 2025. The SEC stated that it needs more time to review the proposed rule change and consider the issues raised before making a decision.
BlackRock's spot Ethereum ETF was approved in May and began trading in the summer. In August, Nasdaq, on BlackRock's behalf, filed a rule change to list and trade options for the iShares Ethereum Trust. Two letters were submitted about Nasdaq's proposal. One, from Better Markets, warned the SEC to be careful before allowing options trading for spot bitcoin and Ethereum ETFs because of their volatility.
In a separate development, the SEC requested public comments on a proposal from Cboe BZX Exchange Inc., representing Fidelity, to list and trade options on its spot Ethereum ETF. The deadline for submitting comments is 21 days after the proposal is published in the Federal Register.
The SEC's decision on BlackRock's proposal will have significant implications for the cryptocurrency market, as it could pave the way for more institutional investment in Ethereum. However, the SEC's caution in reviewing the proposal highlights the regulatory challenges facing the cryptocurrency industry.
