United States of America: Closed consultation on Nasdaq's application to list and trade Bitcoin ETPs

On 21 May 2024, the Securities and Exchange Commission (SEC) closes its public consultation regarding the proposed rule change by Nasdaq ISE, LLC to authorise the listing and trading of options on Bitcoin Exchange-Traded Products (ETPs). This change aims to amend Options 4, Section 3, Criteria for Underlying Securities to include Bitcoin ETPs as Exchange-Traded Fund Shares (ETFs) deemed suitable for options trading on the Exchange. Options 4, Section 3(h) is subject to specific criteria, exchange-traded funds (ETFs) eligible for options trading may include those representing interests in particular trusts holding financial instruments, money market instruments, or precious metals considered commodities. This amendment aims to authorise the listing and trading of options on exchange-traded funds (ETFs) that represent interests in trusts holding Bitcoin Exchange-Traded Products (ETPs). The proposed rule change is intended to align with competitive filings by other exchanges and to offer investors the opportunity to gain exposure to bitcoin through options trading on regulated platforms.