The US Securities and Exchange Commission (SEC) has postponed its decision on whether to approve Bitcoin ETF options trading to give itself more time to study the issue.
The introduction of Bitcoin ETF options trading is expected to facilitate capital inflows into the BTC market from institutional investors.
The SEC said in a statement that a decision on Cboe Exchange's applications to offer Bitcoin ETF options has been delayed until April 24, 2024. A decision on Nasdaq's application to offer options on BlackRock's iShares Bitcoin Trust (IBIT) has also been delayed until that date.
The exchanges filed applications with the SEC to list Bitcoin ETF options on January 25, 2024, Cointelegraph reported.
Since options are derivative products, trading them serves as a derivative tool for traders, allowing them to forecast future profits or hedge potential losses.
Michael Sonnenschein, CEO of Grayscale, previously urged the SEC on his page on X to approve Bitcoin ETF options because they promote a sustainable and healthy market and help investors better navigate market conditions or achieve desired outcomes.
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This delayed decision follows the SEC's approval of 11 spot Bitcoin ETFs in January, marking a significant shift in the regulator's policy after years of denying similar applications.
The regulator is also awaiting a decision on whether to approve seven spot Ethereum ETFs. Markets expect the applications to be approved by the SEC at the same time, but that won't happen until May 23.