The Securities and Exchange Commission (SEC) is reviewing a proposed rule change by the Cboe Exchange to introduce new options based on the Cboe Bitcoin U.S. ETF Index and the Mini-Cboe Bitcoin U.S. ETF Index. These options would settle at the end of the day and have various expiration frequencies, including daily, weekly, and monthly. The proposed rule change aims to give investors more options for hedging their bets and managing risk by providing more flexibility with the timing of their trades. The SEC is inviting public comments on this proposal to ensure it aligns with the regulations and benefits the investment community.
Simple Explanation
The SEC is thinking about letting people trade new special options that follow Bitcoin prices; these options make it easier for people to decide when they want to buy or sell. They want to make sure these options are good for everyone, so they're asking what people think.