Catenaa,Monday, March 03, 2025-The US Securities and Exchange Commission (SEC) has postponed a decision on approving options trading for Ether exchange-traded funds (ETFs), extending its review period beyond the initial deadline, regulators announced Friday.
The delay affects multiple exchanges, including the CBOE Exchange, which had proposed listing options for Ethereum ETFs such as the Grayscale Ethereum Trust ETF and the Bitwise Ethereum ETF. The SEC has set a new deadline for May 2025.
The decision follows proposals from asset managers including BlackRock and Fidelity, seeking to expand digital asset trading through options for Ether ETFs. The postponement has reignited debate over the balance between market innovation and investor protection.
Earlier this month, an SEC filing revealed the agency is soliciting public feedback on rule changes that would permit options trading for spot Ether ETFs. The Cboe Exchange argued that Ethereum-based funds are similar to existing Bitcoin ETFs, which are already eligible for options trading. The iShares Ethereum Trust and Grayscale Ethereum Trust, which manage billions in assets, are among the funds affected.
The regulatory delay coincides with shifting policies under President Donald Trump’s administration. Trump Jr., speaking at a crypto event in Denver, called for clearer regulations to ensure businesses can operate securely in the U.S. while fostering innovation.
With regulatory uncertainty persisting, investors are assessing the potential impact on market dynamics and strategic decisions in digital finance.
