Bloomberg Analyst: Bitcoin ETF Options May Be Launched in Q4

Key Points:

• Bloomberg analyst James Seyffart predicts that Bitcoin ETF options may launch by Q4 2024, pending the SEC, OCC, and CFTC approvals.
• Three exchanges have withdrawn their applications for spot Bitcoin ETF options, but major exchanges like NYSE and Nasdaq still have active applications.
• Nasdaq and BlackRock have filed to add spot Ethereum ETFs to the iShares Ethereum Trust, with the SEC expected to decide by April 9, 2025.

Bloomberg analyst James Seyffart now estimates that Bitcoin ETF options may be offered as early as the fourth quarter of 2024.

Read more: Crypto Hedge Funds Are Now Making a Positive Return to Bitcoin

Bitcoin ETF Options May Launch This Year

The estimate from the analyst comes amidst the looming deadline from the Securities and Exchange Commission, September 21, for its ruling. However, further approvals will be required at the Options Clearing Corp. and CFTC.

Now, there are many ETFs on both Bitcoin and Ethereum, including leveraged options. Seyffart mentioned that there were already 20 ETFs with options available, showing how a whole array of products on Bitcoin and Ethereum are already available to investors.

Recently, three smaller bourses—the BOX Exchange, MIAX Pearl, and the Miami International Securities Exchange—pulled their applications to list spot Bitcoin ETF options.

Eric Balchunas, a senior Bloomberg ETF analyst, pointed out that most of the big ones, like the NYSE, Nasdaq, and CBOE, still have pending applications. The SEC announced in July that it needed more time to review the products.

BlackRock Files for Spot Ethereum ETF

Options contracts give investors the right, not the obligation, to purchase or sell an underlying instrument at a set price and date. Due to its high return potential and capped risk limited to the premium paid for the option, it is extremely popular among retail investors to be used for speculating and in short-term strategies.

On the other hand, on August 7, Nasdaq and BlackRock sent a filing to the regulator for the inclusion of spot Ethereum ETFs in the iShares Ethereum Trust (ETHA). The regulator has 21 days to comment on the filing, with a final decision expected to be made by April 9, 2025.