NYSE American Proposes to Amend Rules for Position Limits and FLEX Options on Bitcoin and Ethereum ETFs
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NYSE American is filing to update its rules so that options on eleven specific crypto asset ETFs (including Grayscale Bitcoin Trust, iShares Bitcoin Trust, Fidelity Wise Origin Bitcoin Fund, and several Ethereum equivalents) will no longer be subject to a fixed 25,000 contract position and exercise limit. Instead, these options will follow the standard position limits in Rule 904 Commentary .07. The proposal also removes restrictions preventing these options from trading as FLEX Options and eliminates the aggregation requirement between FLEX and non-FLEX positions for certain Bitcoin products. This aligns the treatment of these crypto ETFs with other equity options listed under the generic Commodity-Based Trust criteria.
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Key Changes
- Removes the 25,000 contract position and exercise limit for options on Fidelity Wise Origin Bitcoin Fund, ARK21Shares Bitcoin ETF and all listed Ethereum ETFs
- Applies standard position limits under Rule 904 Commentary .07(a)-(e) to all listed Crypto Asset options
- Eliminates aggregation of FLEX and non-FLEX positions for GBTC, BTC, BITB, and IBIT
+ 3 more changes with Pro