The SEC is evaluating a proposal to list options on a Grayscale multi-asset crypto ETF and has asked for additional public comment as it assesses risks tied to crypto-related derivatives. Regulators want input on market structure, surveillance, and investor protections.
CME Group said May 29 is the target to begin offering 24/7 trading for crypto futures and options, pending regulatory approval.
A large options expiry is prompting traders to hedge and reduce exposure as Bitcoin volatility climbs, increasing short-term downside risk. Derivatives desks' rebalancing could add selling pressure into thinner markets.
Quarterly Bitcoin options with $13.4 billion in notional expired on March 27 while open interest remained near record highs. The expiry created potential for short-term volatility as market participants and dealers adjusted hedges.
GameStop disclosed in its fiscal 2025 annual report that it pledged 4,709 of 4,710 bitcoin as collateral to Coinbase Credit to execute a covered-call options strategy, confirming it retained its BTC holdings instead of selling them. The move signals the company is using derivatives to monetize its crypto position while keeping exposure to price gains.
Cboe Global Markets is launching BITVX, a VIX-style index that measures expected bitcoin price swings using options on the iShares Bitcoin Trust ETF. The index aims to bring a standardized volatility yardstick to crypto markets.
Heavy ETF outflows and block selloffs from Trump-linked World Liberty Financial and Mike Novogratz’s Galaxy Digital have pressured BTC, ETH and XRP as traders await same-day options expiries and US Nonfarm Payrolls, raising concerns about trapped retail positions.
Ethereum jumped past $2,000 ahead of Friday’s options expiry, driven by bullish derivatives flows and renewed spot demand. Traders should expect heightened volatility as positions roll or unwind.
The CME will begin round-the-clock trading for crypto futures and options on May 29, expanding market access beyond traditional hours. The move aims to boost liquidity and give traders continuous hedging and risk-management tools.
BlackRock filed for a Bitcoin covered-call ETF, signaling growing institutional appetite for crypto yield products rather than pure spot exposure. The proposal could steer yield-seeking capital into BTC-linked options strategies and deepen the market for crypto derivatives.