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The U.S. securities regulator has granted “expedited approval” to 11 exchange-traded funds to list and trade options linked to spot bitcoin prices on the New York Stock Exchange, regulatory filings show.
In January, the Securities and Exchange Commission (SEC) approved bitcoin ETFs to track bitcoin, a breakthrough for the world’s largest cryptocurrency and the broader cryptocurrency industry.
Bitcoin Fidelity Wise Origin Fund (FBTC.Z), opens a new tabARK21Shares Bitcoin ETF, Invesco Galaxy Bitcoin ETF (BTCO.Z), opens a new tabGrayscale Bitcoin Trust BTC (GBTC.P), opens a new tab and the iShares Bitcoin Trust ETF (IBIT.O), opens a new tab were among the funds that received approval on Friday.
Index options – exchange-traded derivatives that offer a quick and inexpensive way to increase exposure to bitcoin – on the bitcoin index would provide institutional investors and traders with an alternative way to hedge their exposure to the world’s largest cryptocurrency.
Options are exchange-traded derivatives that give the holder the right to buy or sell an asset, such as a stock or an exchange-traded product, at a predetermined price on a set date.
Regulator last month approved writing and trading options for BlackRock’s asset manager (BLK.N), opens a new tabfund listed on the Nasdaq exchange.
