5 Mar 2025
📈Cboe's Proposed Rule Change for Bitcoin Options Expirations
Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing of a Proposed Rule Change To Add P.M.-Settled Options on the Cboe Bitcoin U.S. ETF Index and the Mini-Cboe Bitcoin U.S. ETF Index With Third Friday Expirations, Nonstandard Expirations, and Quarterly Index Expirations
Summary
The Securities and Exchange Commission is reviewing a proposed rule change by Cboe Exchange to add P.M.-settled options for the Cboe Bitcoin U.S. ETF Index and its mini version. This proposal aims to provide more flexible expirations, including daily and quarterly, enhancing trading opportunities and risk management for market participants.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule to include P.M.-settled options for CBTX and MBTX expands trading opportunities and hedging tools for market participants, allowing businesses to manage risk more effectively. The ability to select various expiration dates aligns investment strategies with specific timing needs, potentially lowering defensive premium costs.