According to TechFlow, on September 21, Jeff Park, head of strategy at Bitwise Alpha, published a long article on social media, analyzing the far-reaching impact of the U.S. Securities and Exchange Commission (SEC) approving Bitcoin spot ETF options trading. Park believes that this decision will trigger the most incredible price fluctuations in financial history and may become the most significant development in the cryptocurrency market.

Park noted that Bitcoin ETF options will achieve the "partial banking" of Bitcoin's notional value for the first time. While the non-custodial nature of Bitcoin's limited supply is its greatest advantage, it also limits the ability to create synthetic leverage. Now, under the supervision of the U.S. Commodity Futures Trading Commission (CFTC), Bitcoin will have a protected market that allows its synthetic notional exposure to grow exponentially, greatly enhancing its financial utility. In addition, Park emphasized Bitcoin's unique volatility characteristics. Unlike traditional stocks, Bitcoin's upside and downside volatility require a risk premium, which leads to the so-called negative vanna effect. When the spot price rises, volatility also rises, accelerating the growth of delta. This can trigger a recursive rise.

Earlier news, the SEC approved Nasdaq to list and trade options on BlackRock iShares Bitcoin Trust (IBIT).