Nasdaq seeks SEC’s nod for bitcoin index options

Washington: Nasdaq is seeking the green light from regulators to launch and trade options on a bitcoin index, the exchange operator said on Tuesday, Reuters reported.

The US Securities and Exchange commission has yet to approve options based on any of the individual exchange-traded funds tied to spot bitcoin prices that made their debut in January, including a Nasdaq application to trade options on BlackRock’s, $21.3-billion iShares Bitcoin Trust ETF.

The proposed index options - listed derivatives offering a quick and inexpensive way to amplify exposure to bitcoin - on a bitcoin index would give institutional investors and traders an alternative way to hedge their exposure to the world’s largest cryptocurrency. The proposed Nasdaq Bitcoin Index Options would track the CME CF Bitcoin Real-Time Index, developed by CF Benchmarks to track bitcoin futures and options contracts available on the exchange operated by CME Group, Nasdaq said.