The United States Securities and Exchange Commission (SEC) Approves Options Trading on Spot Ethereum ETFs
The United States Securities and Exchange Commission (SEC) has taken a new step by authorize options trading on spot Ethereum exchange-traded funds (ETFs). This decision, announced in an accelerated manner last Wednesday, included approval for the iShares Ethereum Trust from Nasdaq ISE, LLC, in addition to proposals from NYSE American LLC for the Bitwise Ethereum ETF, Grayscale Ethereum Trust and Grayscale Ethereum Mini Trust.
According to the document released by the SEC, “the proposed rule change, as modified by Amendment No. 2, complies with the requirements of the Act and the rules applicable to a national securities exchange, highlighting the criteria of Section 6(b)(5) of the Act.”
The surge in options trading on Ethereum ETFs follows a trend already seen with Bitcoin ETFs, which also received the green light from the SEC for similar trading more than a year ago. Since spot Ethereum ETFs began trading last summer, a number of firms have been looking to expand their trading options.
According to James Seyffart, an ETF analyst at Bloomberg Intelligence, the approval was expected and should open the door for new products in the market. Nate Geraci, president of the ETF Store, also commented on the potential for expansion: “As with BTC ETFs, expect to see several new issuers launching. Covered call strategy ETFs, buffered ETH ETFs, etc.”
Good news. Ethereum ETF options approved. Was 100% expected. Today was final deadline. I personally don’t see it on the SEC website yet but id be shocked if it weren’t true.
https://t.co/XjOxE0ZqUt
—James Seyffart (@JSeyff) April 9, 2025
Seyffart also stressed that approval for new options could come sooner than expected, with intermediate deadlines possible in May and August before a final decision in October.