BlackRock Bitcoin ETF Gets SEC OK for Options – What’s Next?

The SEC’s approval of options trading for BlackRock’s Bitcoin ETF marks a pivotal step towards broader institutional acceptance of cryptocurrency.

Larry Fink standing next to Black rocks Bitcoin ETF chart.
Created by Kornelija Poderskytė from DailyCoin
  • The SEC has sparked excitement with BlackRock Bitcoin ETF options.
  • Nasdaq has prepared IBIT options but is facing delays from other regulators.
  • Key approvals have remained pending—will they derail the launch?

The U.S. Securities and Exchange Commission (SEC) has just opened the door for cryptocurrency’s next big leap. In a significant move, the SEC approved options trading for BlackRock’s spot Bitcoin exchange-traded fund (ETF) on Nasdaq, marking a potential game-changer in the fight for institutional acceptance of Bitcoin.

SEC Greenlights Bitcoin ETF Options

Announced on September 20, the SEC gave Nasdaq the green light to list and trade options for the iShares Bitcoin Trust, which will trade under the IBIT ticker. These options will be physically settled with an American-style exercise—adding a layer of complexity for traders and opportunity. 

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Nasdaq confirmed that IBIT options will follow the same rules as other ETFs, but the path to market still faces hurdles. Critically, the SEC’s approval doesn’t mean IBIT options will hit the market immediately. Other regulatory bodies, including the Office of the Comptroller of the Currency (OCC) and the Commodity Futures Trading Commission (CFTC), still need to sign off. 

That process? Far from guaranteed. Bloomberg ETF analyst Eric Balchunas speculated that while the SEC’s nod is a “big step,” further approvals could drag out with no clear timeline in sight. “The other two don’t have a ‘clock,’” Balchunas pointed out, meaning regulatory bottlenecks could still stall the product’s launch.

Bitcoin ETFs Break $1.3B—Will Ethereum ETFs Be Next?

This approval comes at a time when Bitcoin ETFs are already generating massive interest. In August, the trading volume for BlackRock’s IBIT ETF surged past $875 million, contributing to over $1.3 billion in spot Bitcoin investment vehicles. But BlackRock isn’t stopping at Bitcoin. 

Nasdaq is also pushing for approval of options trading on spot Ethereum ETFs, signaling the growing hunger for crypto-based financial products. The question now is whether the SEC’s latest move represents a true shift in attitude or just another regulatory hurdle for crypto investors.

On the Flipside

  • While the SEC’s approval is a significant milestone, it’s important to note that the involvement of multiple regulatory bodies means the path forward is still unclear.
  • Options trading often attracts speculative investors, which could lead to sudden and unpredictable price swings, especially in an already volatile market.

Why This Matters

The SEC’s approval of options trading for BlackRock’s spot Bitcoin ETF marks a key step in bringing digital assets into mainstream finance, potentially driving institutional adoption. This move opens new growth opportunities and signals deeper market legitimacy for the broader crypto community.

Discover how Bitcoin enthusiasts are changing Larry Fink’s views; read more here:
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Find out why crypto experts are confident the bull run is back; learn more here:
Why the Crypto Market Believes the Bull Run is Back

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Kyle Calvert

Kyle Calvert is a reporter for DailyCoin covering all Ripple (XRP) developments and market analysis. Kyle's has major XRP holdings, moderate in Solana and Ethereum, and minor holdings across 20+ other cryptocurrencies.

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