Key Points. NYSE Arca proposes Rule 8.800-E on the listing of digital assets and investment products.
The new rule aims to expand investment opportunities and meet demand for a variety of assets.
NYSE Arca proposes Rule 8.800-E for the listing of commodity and digital asset-based securities. The rule is intended to expand investment opportunities, meet investor demand, and provide a regulated trading environment for these innovative products.
On October 29, 2024, NYSE Arca proposed that the SEC adopt a new rule (Rule 8.800-E) that would permit the listing and trading of innovative investment products based on commodity and #digital assets.
In connection with this rule, NYSE Arca is also proposing to list and trade shares of the #Grayscale Digital Large Cap Fund pursuant to this new rule.
the primary purpose of Rule 8.800-E is to expand the investment opportunities available on NYSE Arca by creating a framework for listing securities based on both physical commodities and digital assets.
the proposal would allow exchanges to consider trading investment income interests based on commodities and/or digital assets that meet the criteria of this rule pursuant to listed or unlisted trading privileges.
Such investment interests are defined as securities issued by a trust, limited liability company or similar organization that owns certain commodities, digital assets, derivative securities or cash.
The rules address investor demand for a variety of products that combine the growth potential of digital assets, such as #cryptocurrencies , with traditional commodity investments. By expanding the range of listed securities, NYSE Arca will facilitate new forms of exchange-traded products (ETPs) that provide access to these innovative asset classes in a safe and regulated environment.
Rule 8.800-E opens the door to a regulated space where investors can trade in commodity-backed securities and digital assets.
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