Notice of Proposed Rule Change for Options on Crypto Commodity Trusts by Miami International Securities Exchange
AI-generated summary for informational purposes only. Not legal advice. See the original source for the authoritative text.
This proposed rule change by the Miami International Securities Exchange seeks to amend existing rules to allow the listing and trading of options on Commodity-Based Trusts holding multiple crypto assets. It impacts traders and exchange platforms by setting criteria for listing options on such trusts and requirements for their continued approval. Compliance with new standards will be necessary for listing options, ensuring all underlying crypto assets meet liquidity tests and proper market oversight.
AI-generated summary. May contain errors. Refer to official sources for legal decisions.
Key Changes
- Allows listing and trading of options on trusts holding multiple cryptocurrencies.
- Sets criteria and withdrawal standards for listed options on crypto trusts.
- Requires underlying crypto assets to meet liquidity and market surveillance standards.
Obligations
What this law requires
Commodity-Based Trusts must meet the requirement that the total global supply of each underlying crypto asset has an average daily market value of at least $700 million over the last 12 months.
Commodity-Based Trusts must ensure that the total global supply of each underlying crypto asset held has an average daily market value of at least $700 million over the last 12 months.
Each underlying crypto asset in a Commodity-Based Trust must underlie a derivatives contract that trades on a market with which the Exchange has a comprehensive surveillance sharing agreement.
Each crypto asset held by the Commodity-Based Trust must underlie a derivatives contract that is traded on a market with which the Exchange has a comprehensive surveillance sharing agreement.
Options on Commodity-Based Trusts approved under Exchange Rule 402(i)(6) must continue to meet the requirements of Exchange Rule 402(i)(6)(iii)(A) and (B) on a monthly and daily basis respectively.