The post NYSE American Halts Plans for Bitcoin ETF Options Amid SEC Uncertainty appeared on BitcoinEthereumNews.com.

The NYSE American LLC has retracted its proposal to list options on two prominent Bitcoin exchange-traded funds (ETFs) amid a backdrop of regulatory uncertainties. Several other exchanges, including Cboe and MIAX Pearl, have followed suit, underscoring the pervasive regulatory delays affecting Bitcoin ETFs. Notwithstanding the setbacks, market analysts suggest that Bitcoin ETF options may still surface by Q4 2024, contingent on favorable regulatory developments. Amid regulatory uncertainty, NYSE American retracts its proposal to list options on Bitcoin ETFs by Bitwise and Grayscale, with potential approval eyed for late 2024. NYSE American Withdraws Bitcoin ETF Options Listing Due to Regulatory Hurdles NYSE American LLC has officially withdrawn its submission to list and trade options on the Bitwise Bitcoin ETF and the Grayscale Bitcoin ETF. Initially filed with the SEC, the proposal aimed at offering additional financial instruments tied to Bitcoin. However, the regulatory environment remains convoluted, prompting the exchange’s decision to pull back on August 9, 2024, as indicated in an SEC filing disclosed on August 15, 2024. Broader Market Impact and Other Exchanges’ Reactions The regulatory uncertainty affecting Bitcoin ETFs has not only impacted NYSE American but has also led other exchanges like Cboe and MIAX Pearl to withdraw similar applications. Interestingly, while Cboe initially retracted its application, it has since resubmitted, suggesting ongoing dialog with the SEC. This fluctuation illustrates the broader market’s anticipation and frustration as they await a definitive stance from regulatory authorities. Regulatory Uncertainty and Its Implications The ongoing regulatory ambiguity has had a notable impact on the cryptocurrency market. While the SEC has approved several spot Bitcoin ETFs earlier this year from firms including BlackRock and Fidelity, the nod for options trading remains elusive. This delay means that market participants currently have limited mechanisms to hedge their Bitcoin investments, often resulting in heightened volatility and…

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Filed under: News - @ August 15, 2024 9:27 pm