Nasdaq, in collaboration with CF Benchmarks, It has been uploaded. The U.S. Securities and Exchange Commission has announced its approval of the listing and trading of Nasdaq Bitcoin Index (XBTX) options. If approved, the new product will provide investors with a sophisticated tool to manage and hedge their Bitcoin investments through options, which Nasdaq said will enhance the “maturity and liquidity of the asset class.”
BREAKING: 🇺🇸 Nasdaq seeks SEC approval #Bitcoin Indicator Options: Reuters pic.twitter.com/CT4WeljIbZ
— Bitcoin Magazine (@BitcoinMagazine) August 27, 2024
“We are proud to partner with CF Benchmarks on Nasdaq Bitcoin Index Options, providing market participants with reliable investment avenues to access the digital asset ecosystem,” said Greg Ferrari, Nasdaq’s vice president and chief operating officer. “This collaboration combines the innovative cryptocurrency landscape with the flexibility and reliability of traditional securities markets and will mark an important milestone in the maturation of the digital asset market.”
The index options will track the CME CF Bitcoin Real-Time Index (BRTI) and will include European-style cash exercise and settlement provisions, with the final settlement value based on the CME CF Bitcoin Reference Price – New York Variant (BRRNY) divided by a factor of one hundred at expiration. Nasdaq said the product is designed to meet the needs of institutional and retail market participants, providing access to a new risk management tool.
“CF Benchmarks is pleased to partner with Nasdaq to launch spot settlement options on the CME CF Bitcoin Reference Rate – New York Variant (BRRNY), the most liquid and widely recognized BTC price benchmark for the U.S. market,” said Sui Chung, CEO of CF Benchmarks. “The spot settlement options on BRRNY will build on CME’s highly successful Bitcoin options and futures offering. Together, these regulated crypto derivatives will give investors the confidence to deploy more precise ways to gain exposure to the largest digital asset and will complement our spot ETFs that have already proven popular with investors. As the primary provider of regulated benchmarks for the asset class, we are proud to bring more institutions to the market that will continue to improve market liquidity.”
Nasdaq has stated that it is committed to advancing the Bitcoin and cryptocurrency ecosystem through trusted technology and promoting institutional adoption. As this ecosystem matures, Nasdaq has emphasized the critical importance of trust, transparency, and investor protection. To support these principles, Nasdaq offers a variety of solutions, including central counterparties (CCPs), central securities depositories (CSDs), and exchange-traded product (ETP) listing support. These offerings help promote market stability, liquidity, and overall investor confidence in Bitcoin.