All U.S. Options Venues Scrap Caps on Bitcoin and Ether ETF Options After SEC Waiver

Overview

• NYSE Arca and NYSE American filed to remove the 25,000‑contract limit on options for 11 spot Bitcoin and Ether ETFs, and the SEC waived the 30‑day waiting period to make the change effective immediately.
• The covered products include BlackRock’s IBIT, Fidelity’s FBTC, ARK 21Shares offerings, Grayscale’s Bitcoin and Ethereum trusts, and Bitwise’s Bitcoin and Ether ETFs.
• With the NYSE venues’ filings complete, all major U.S. options exchanges have lifted the cap, a shift the SEC said introduces no new regulatory issues.
• The amendments authorize trading in FLEX options, allowing non‑standard strike prices, expirations, and exercise styles used for institutional structuring.
• Standard exchange frameworks now apply, paving the way for higher position thresholds, while a separate Nasdaq ISE proposal to set IBIT’s limit at 1 million contracts remains under SEC review with comments due by April 13.