BlackRock’s Proposal for Options Trading on iShares Ethereum Trust
BlackRock recently submitted a proposal for the trading and listing of options on the iShares Ethereum Trust (ETHA), an Ethereum (ETH) spot exchange-traded fund (ETF). The proposal was submitted to the U.S. Securities and Exchange Commission (SEC) through the Nasdaq International Stock Exchange on August 6.
Nasdaq and BlackRock’s Crypto ETF Experience
According to the document, the assets of the newly proposed iShares Ethereum Trust will consist solely of Ethereum and will be held by Coinbase. Meanwhile, BNY Mellon will have cash assets, and the trust will not engage in Ethereum staking for additional income. Nasdaq aims to expand the range of Ethereum investment instruments and make cryptocurrency investments more accessible in traditional financial markets.
Options Markets and Commodities ETFs
Options markets allow traders to buy or sell assets at specified prices by specific dates, providing flexibility in trading decisions. Nasdaq and BlackRock have experience listing options on commodity ETFs like the iShares Comex Gold Trust and the iShares Silver Trust, making the addition of spot cryptocurrency ETF options a significant development.
Bloomberg Intelligence ETF analyst James Seipart mentioned that the final decision on adding options to the Ethereum ETF may come around April 9, 2025. Approval from entities like the Options Clearing House (OCC) and the Commodity Futures Trading Commission (CFTC) is also required.
BlackRock’s Leadership in Crypto ETFs
BlackRock is a leading issuer of Bitcoin and Ethereum spot ETFs in the United States. As of August 5, the net assets of BlackRock’s iShares Bitcoin Trust (IBIT) reached $18.28 billion, making it the largest spot Bitcoin ETF. The net assets of BlackRock’s iShares Ethereum Trust (ETHA) were $568.65 million, positioning it as the third-largest spot Ethereum ETF in the U.S. market.
