According to Deep Tide TechFlow news on November 22, as reported by PR Newswire, the Chicago Board Options Exchange (CBOE) will launch the world's first cash-settled index options product based on the spot Bitcoin price on December 2. This product will be exclusively traded on the CBOE options exchange and will be regulated by the SEC.
The new product is based on the CBOE Bitcoin US ETF Index (code: CBTX), the first index in the market to track the performance of a US spot Bitcoin ETF. CBOE will launch three types of contracts: standard index options, mini index options (code: MBTX, which is one-tenth the size of a standard contract), and FLEX options, which allow traders to customize key contract terms.
Rob Hocking, the Global Product Innovation Officer at CBOE, stated that the cash settlement mechanism combined with a diverse range of index scales and FLEX options will provide institutional and retail investors with more flexible trading strategy choices, allowing them to participate in the market without directly holding Bitcoin.
