SEC Delays Decision on BlackRock and Bitwise Spot Ethereum ETF Options

The U.S. Securities and Exchange Commission (SEC) has postponed its decision on Nasdaq’s proposed rule change regarding the listing and trading of options on BlackRock and Bitwise’s spot Ethereum exchange-traded funds (ETFs).

The ruling, originally set for this Thursday, will now be delayed until November 10, as stated in a release from the agency.

The SEC's decision follows the recent approval for options trading on BlackRock’s iShares Bitcoin Trust (IBIT), which was granted last week. This approval has been characterized as a significant development for bitcoin ETFs, according to industry analysts.

In addition to BlackRock's proposals, the SEC has also delayed a ruling on NYSE American’s plan to list and trade options on Bitwise’s spot Ethereum ETFs, which include the Grayscale Ethereum Trust and the Grayscale Ethereum Mini Trust.

The new deadline for this decision has been set for November 11.

The Nasdaq International Securities Exchange submitted the proposal for IBIT options on August 6, aiming to simplify access to Ethereum ETFs for both retail and institutional investors.

The proposal emphasized that the shares are designed to eliminate the complexities and operational burdens typically associated with direct investments in ether.

Despite these developments, the nine spot Ethereum ETFs have faced challenges, with a total of over $624 million in outflows since their launch on July 23.

BlackRock’s ETHA, however, has managed to attract substantial investments, holding net assets of approximately $977 million and accumulating $1.10 billion in net inflows, the highest among its peers according to SoSoValue.