Options on BlackRock's Bitcoin ETF Will Launch Tuesday
Options trading on BlackRock's iShares Bitcoin Trust ETF is set to begin on Tuesday, as confirmed by Nasdaq. This development follows a memo from the Options Clearing Corporation (OCC) which updated its documentation for new options listings. The OCC's actions were prompted by a recent advisory from the Commodity Futures Trading Commission (CFTC), which cleared the way for listing options on spot Bitcoin ETFs. BlackRock's ETF has achieved substantial inflows, approximately $29 billion this year alone, indicating high investor interest. Analysts suggest that the addition of options could enhance market liquidity and provide investors with a safer method to engage with Bitcoin through ETFs. Options serve as financial derivatives, granting buyers rights to trade assets at predetermined prices within specified time frames. This move represents significant regulatory progress and aims to improve participation in the Bitcoin market.
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