Nasdaq seeks SEC approval for bitcoin index options
Nasdaq is seeking the green light from regulators to launch and trade options on a bitcoin index, the exchange operator said on Tuesday.
The U.S. Securities and Exchange commission has yet to approve options based on any of the individual exchange-traded funds tied to spot bitcoin prices that made their debut in January, including a Nasdaq application to trade options on BlackRock's $21.3-billion iShares Bitcoin Trust ETF.
The proposed index options — listed derivatives offering a quick and inexpensive way to amplify exposure to bitcoin — on a bitcoin index would give institutional investors and traders an alternative way to hedge their exposure to the world's largest cryptocurrency.
«It's important for options on bitcoin to be available for this asset class to be fully normalized,» said Matt Hougan, chief investment officer of Bitwise, one of the group of asset managers that brought bitcoin ETFs to market this year. «We're missing a part of the liquidity picture that ETF options would provide.»
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View Details»Options are listed derivatives
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