NYSE American axes bid for spot Bitcoin ETF options

NYSE American LLC has withdrawn its proposed regulatory rule change requesting that spot Bitcoin ETF options be listed.

The national exchange has filed for options on its Bitwise Bitcoin (BTC) exchange-traded fund and Grayscale’s converted BTC ETF, according to a filing with the U.S. Securities and Exchange Commission.

NYSE American also offered options on spot Ethereum (ETH) ETFs offered by two issuers, while BlackRock did the same for its own fund.

NYSE American filed for a rule change for listing and trading BTC ETF options on July 19, then withdrew its application on August 9. The finalized proposal was formalized on August 14 and announced on August 15, according to the commission’s website.

Cboe also canceled its spot Bitcoin ETF options offering last week but immediately resubmitted its application. Cboe’s action could indicate ongoing dialogue and feedback from the SEC.

Bitcoin ETF options likely in Q4

Meanwhile, less than two weeks ago, other platforms such as BOX Exchange and MIAX Pearl withdrew their option proposals for rule changes related to spot Bitcoin ETFs.

The SEC has repeatedly delayed its decisions on filings from Cboe, Nasdaq and other exchanges, frustrating investors and issuers.

Pro-crypto ETF voices like former Grayscale CEO Michael Sonnenshein have called on the Commission to approve the options, which Sonnenshein argued would provide investors with a range of portfolio options.

ETF expert James Seyffart has predicted that spot BTC ETF options will go live in the fourth quarter of this year. If the SEC approves, issuers will need to get the green light from regulators such as the Commodity Futures Trading Commission and the Office of the Comptroller of the Currency, Seyffart said on Aug. 8, via X.