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After the success with the Bitcoin ETF, Grayscale is now relying on options contracts

After the success with the Bitcoin ETF, Grayscale is now relying on options contracts

After the first spot ETFs for Bitcoin (BTC) were approved in the USA in January, investors jumped in en masse.

The funds grew by billions of dollars and some even made it to the top of the list of the most popular stock market funds. Now the industry wants to take the next step.

(More) options – next step for crypto?

For him, the next step could well be the approval of listed options contracts. These are derivatives; Artificial financial products that allow you to earn additional profits.

In the case of options, this is done with built-in leverage of no less than 100 times the value you invest in the options. This also has a disadvantage, because the contracts expire after a set period of time and are then worthless in many cases.

These financial products are very complicated and are therefore strictly regulated by policymakers. Financial service providers must indicate whether they wish to enter into option contracts for a particular asset for the first time.

It must be said that options contracts for the crypto industry already exist, but Grayscale now wants to see options contracts for Bitcoin listed as well.

Grayscale Pushes for Bitcoin Options Approval

Inquiries on social media platform X (Twitter). Grayscale CEO Michael Sonnenshein US politicians approve filing of exchange-traded options contracts in addition to spot ETFs. In his opinion, the market needs a robust options market for Bitcoin.

Grayscale’s largest exchange fund, GBTC, has been around since 2015. But because it is based on a… over the counter Although it is listed on an OTC exchange, it has never been eligible for options. If the American stock market watchdog agrees, that could now change. It is now offered on the NYSE Arca, where options can be traded.

It is quite possible that this next step will happen soon, as the Securities and Exchange Commission (SEC) has already approved applications from the New York Stock Exchange (NYSE), Nasdaq and the Chicago Board Options Exchange for these contracts. This may take until September 21, 2024, but it is a start. It may also help that Grayscale itself has applied for a special ETF that includes options.

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