The US Securities and Exchange Commission (SEC) has granted approval for exchanges to list and trade options contracts on several spot Ether exchange-traded funds (ETFs). This decision aligns with a proposed rule change submitted by BlackRock for its iShares Ethereum Trust (ETHA) in July 2024. Similar approvals were also given to Bitwise Ethereum ETF, Grayscale Ethereum Trust, and Fidelity Ethereum Fund. The ability to trade options on these ETFs is expected to enhance Ether's appeal among institutional investors seeking to hedge against market declines. Despite the SEC's earlier approval of spot Ethereum ETFs in July, net inflows into these funds remain low, with institutional interest mainly favoring Bitcoin funds. BlackRock's ETHA currently boasts $1.8 billion in net assets but has seen a 56% decrease since the beginning of the year. Following a shift in regulatory stance, the SEC has also eased its enforcement actions against various crypto companies, indicating a more favorable environment for cryptocurrency-related investments.

Source 🔗