Blackrock’s Bitcoin ETF Nears Breakthrough as SEC Weighs Expansive 1M Options Limit

The U.S. Securities and Exchange Commission (SEC) is set to examine tokenization rules, with major players such as Coinbase, Blackrock, Galaxy, and Robinhood participating in the discussions. This initiative reflects the SEC's ongoing efforts to adapt regulatory frameworks to the evolving cryptocurrency landscape.

Nasdaq made a significant move in the cryptocurrency market by proposing to increase the options trading limits for BlackRock's Bitcoin ETF from 250,000 to 1 million contracts, coinciding with the Thanksgiving holiday. This initiative reflects Nasdaq's growing confidence in Bitcoin's market potential and aims to enhance institutional participation in cryptocurrency trading.

Nasdaq has proposed to increase the options trading limit for BlackRock's iShares Bitcoin Trust (IBIT) from 250,000 to 1 million contracts, aiming to align IBIT with the largest and most liquid ETFs in traditional markets. This proposal has been submitted to the US Securities and Exchange Commission for approval.

Bitwise has made a significant advancement in the cryptocurrency sector by becoming the first issuer to include staking in its Avalanche ETF, as indicated by its recent SEC filing. This move brings the ETF closer to market readiness and highlights the growing interest in staking as a viable investment strategy within the crypto landscape.

On November 21, Bitcoin experienced significant inflows to exchanges, exceeding 9,000 BTC, as prices fell to $80,600, marking the lowest level in seven months. Approximately 45% of these deposits were in large chunks of 100 BTC or more, indicating a trend of coins being moved for sale rather than casual rebalancing.

The presale of $PEPENODE has gained traction as Nasdaq's proposal to increase the options trading limit for BlackRock's Bitcoin ETF to one million contracts signals a significant uptick in institutional interest in cryptocurrency derivatives. This development is expected to enhance liquidity and market efficiency.

A coalition representing major stock exchanges has urged the U.S. Securities and Exchange Commission (SEC) to reconsider its proposal to grant an 'innovation exemption' to brokers and crypto firms for offering tokenized stocks. This pushback highlights concerns over regulatory oversight and market integrity in the evolving landscape of digital assets.

Nasdaq is seeking to increase the options trading limits for BlackRock's Bitcoin ETF, the iShares Bitcoin Trust (IBIT), from 250,000 to 1 million contracts. This proposal reflects a growing confidence in the Bitcoin market as it indicates a shift towards more significant institutional engagement and trading activity.