The Cboe EDGX Exchange, Inc. proposed a rule change to allow options trading on Bitcoin-backed funds, such as the iShares Bitcoin Trust and the Grayscale Bitcoin Trust. These Bitcoin-based exchange-traded funds (ETFs) provide investors exposure to Bitcoin's performance without owning the cryptocurrency directly. The rule change aims to align with existing options trading standards on the Exchange and ensure that proper safeguards are in place to detect market abuses. The Securities and Exchange Commission is seeking public comments on this proposal.
Simple Explanation
The document is about a plan to let people trade options on special funds that are linked to Bitcoin, like pretend shares of Bitcoin. This change is supposed to make sure everything is fair and safe, but it's a complicated idea that the government wants people to think about and comment on.