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SEC Approves First-Ever Options Trading for Ether ETFs

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  • The SEC has approved the first-ever options trading for BlackRock’s iShares Ethereum Trust (ETHA).
  • ETHA stands out as the only approved ETF for options trading due to BlackRock’s strong regulatory track record.
  • Following the news, the ETH price surged from $1,470 to $1,670, signaling renewed investor interest.

The US Securities and Exchange Commission (SEC) has given the green light for trading options linked to one of the spot Ether (ETH) exchange-traded funds (ETFs). The SEC gave its approval on Wednesday, April 9, 2025, after Nasdaq ISE filed for approval (which included a rule change on the ETHA to options trading) in July 2025.

According to the filing, Nasdaq sought to list this option contract on the BlackRock-owned spot Ethereum ETF (iShares Ethereum Trust, ETHA). Individual and institutional investors are often attracted to options trading.

It is a trading instrument that allows them to hedge risk and still own huge amounts of the asset’s shares. They can use a little investment to gain exposure for ETH. Popular Bloomberg intelligence analyst, James Seyffart tweeted that he expected the approval to happen absolutely.

ETHA Stands Alone – For Now

It is worth noting that the US SEC didn’t approve this options trading for any other spot ETH ETF, except BlackRock’s ETHA. Analysts believe the SEC chose to approve this options trading for only ETHA because of BlackRock’s strong regulatory record.

Also, on-chain data shows that the ETHA has been the best performer among other spot ether ETFs. Industry analysts also believe BlackRock’s ETHA would likely attract more trading volume and liquidity as it’s the only spot ETH ETF with options trading.

Hence, the top US finance regulator could approve options trading for other spot ETFs to ease the demand pressure of this investment option on the ETHA.

US SEC’s Additional Approvals

The approval document also showed that the agency approved the NYSE’s request for trading options on Grayscale Ethereum Mini Trust, Bitwise Ethereum ETF, and the Grayscale Ethereum Trust. Arca and CBOE are the other funds available on the New York Stock Exchange (NYSE).

Since the SEC approved eight spot ETH ETFs almost 12 months ago, many asset managers have sought approval for options trading. After greenlighting spot BTC ETFs earlier in 2024, the regulator approved options trading of these products before the end of last year. ETF store president Nate Geraci stated that more launches will happen soon. The price of ETH has dipped to about $1,449 in the last few days. However, Coingecko data showed that the cryptocurrency’s price is currently at $1,668 following the announcement.

ETH PRICE
SEC Approves First-Ever Options Trading for Ether ETFs 2

Source: CoinGecko

Whale Exodus Drags Ethereum to Make-or-Break Zone Below $1,900

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  • Ethereum has declined 44 percent since the start of 2025 and is now testing a major support level near $1,800.
  • The price dropped 10 percent over the past week and is currently trading within a historically critical decision zone.
  • If Ethereum fails to hold the current support, it could fall below $1,000 and possibly reach $610.

The Ethereum (ETH) market endured a heavy selling force during the first months of 2025, thus triggering a 44% annual decrease in value. ETH rates dropped 10% during the past week to challenge the essential price zone at $1,800. The asset’s current price position remains within an essential area that has previously served as a major determinant of market direction.

Ethereum gained minor ground upon reaching $1,800, but its recovery remains weak because large investors have shown decreased participation. The mid-channel technical region functions as an essential decision-maker for ETH since 2018. Failure to maintain support at the current levels could force Ethereum prices down toward $1,000, which may trigger a decline to $610 at minimum.

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The current state of Ethereum shows weak price movement because both resistance levels get stronger at higher prices and sellers maintain a powerful grip that blocks price gains. The altcoin demonstrates weak market sentiment because it lacks the strength to exceed the mid-range channel. ETH faces pressure from bears to enter deeper price correction territory unless the bull market establishes itself shortly.

Ethereum Faces Pressure as Whale Activity Declines Sharply

The decline of whale transactions presents Ethereum with its current major challenge. These transactions decreased by 63.8% starting from late February. The market confidence level has diminished because large holders have sold over 760,000 ETH units within the past two weeks. The decreasing whale participation levels in Ethereum, alongside weakened institutional investment patterns, drive this current trend.

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The market volatility, alongside ETH’s Bitcoin comparison issues, has caused major players to reduce their engagement through large-scale transactions. Ethereum managed three consecutive quarterly losses in Q1 2025, making it the first time in history that this occurred. Market investors prefer watchful inactivity rather than entering Ethereum because they remain cautious.

The on-chain data indicates a combination of weak network growth, decelerated staking, and decreasing transaction counts within Ethereum’s principal platforms. The network data shows that bigger investors are retaining their Units but refraining from making transactions, which confirms their diminished faith in the short term. The price recovery is expected to remain uncertain because whale confidence has not shown signs of improvement.

ETF Inflows Dry Up as Ethereum Trails Innovation Curve

Institutional investment into Spot Ethereum ETFs experienced a sharp decrease during the past months because net inflows dropped below $2.5 billion. The recent period has shown a strong devaluation of $3.042 billion in February compared to current levels. The market data shows investors making new evaluations regarding ETH’s enduring worth.

Data shows that spot Ethereum ETF inflows show a reduced trend because market participants doubt Ethereum’s Web3 leadership and innovation pace. According to numerous experts, Ethereum’s advancement as a Layer 1 protocol remains slower than its peers. ETH now faces greater challenges when drawing new financial support because its development progress has become sluggish.

The impending Pectra upgrade on April 30 might restore investor sentiment by developing improved wallets along with enhanced network performance. The upcoming platform enhancement will provide users with a simplified interaction process and more efficient execution of Ethereum-based applications. The rollout of adoption will determine how long it takes Ethereum to recover fully.

Bitcoin ETF Inflows Crash 73%—Is Institutional Confidence Fading Fast?

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  • The spot Bitcoin ETF market saw a 73.6 percent decline in inflows over the past week.
  • Total inflows dropped to $196.48 million from $744.35 million the previous week.
  • A $93.16 million outflow on March 28 ended a 10-day ETF inflow streak.

The spot Bitcoin ETF market recorded a significant drop in weekly inflows as broader market conditions turned negative. The market reaction prompted investors to withdraw their funds, dropping flow comparisons by 73.6% compared to the previous week. Total inflows reached $196.48 million through SoSoValue data, indicating a major decrease from the previous $744.35 million numbers.

Digital assets suffered when equity markets showed declining trends, as investors needed to reevaluate their risk positions. As sentiment weakened, spot Bitcoin ETFs reflected the pressure, with consistent inflows early in the week but a sharp reversal by Friday. The market suffered $93.16 million in losses on March 28, concluding the successive 10-day period of inflows.

Bitcoin’s performance followed the same downward trend as the currency because of market volatility that week. The decreased outflows during this week showed that institutional investors were losing their short-term financial confidence. Even though the daily inflows presented inconsistent data throughout the week, these indications showed that investors remained modestly interested.

BlackRock and Fidelity Dominate Bitcoin ETFs

The broader Bitcoin ETF outflows did not affect IBIT from BlackRock or FBTC from Fidelity which continued to dominate the ETF market segment as they attracted substantial capital each week. The funds attracted considerable investing capital at the beginning of the week when market uncertainties loomed. According to daily records for March 17, Fidelity reached a peak of $274.6 million, compared to the total inflows of $127.3 million.

The issuers who joined the weekly gains made minimal or no substantial impact on the overall growth amount. Franklin Templeton, Valkyrie VanEck, and WisdomTree experienced minimal change in their activities, thus trailing the market leaders. Investors’ investment behavior separated the top issuers from all other smaller players in the market.

Investing interests concentrated on big ETFs with high liquidity factors alongside strong brand recognition, thus creating instability for smaller funds over market turbulence. Inflow distributions indicate a safety-minded outlook from investors instead of widespread excitement about cryptocurrencies. This dynamic continues to shape capital movement in the spot Bitcoin ETF market.

Metaplanet Backs Bitcoin with New Debt

The weakening of ETF flow patterns led some institutions to invest in Bitcoin through alternative strategies and long-term approaches. The Japanese company Metaplanet presented specific debt products that allow buyers to acquire Bitcoin due to their firm trust in its sustained market value. Institutional groups established these purchasing initiatives soon after market prices dropped to acquire Bitcoin at more affordable rates.

The institutional player strategy acquired Bitcoin public as part of its direct market exposure initiatives, which began in March. Institutional interest in Bitcoin continues to demonstrate stability despite short-term challenges for ETFs. Organizations consider decreasing market prices as a chance to acquire Bitcoins strategically.

Bitcoin ETFs Soar as Inflows Near $1B, BlackRock Leads the Surge

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  • Investor sentiment made a strong comeback as Bitcoin ETFs recorded nearly one billion dollars in weekly inflows.
  • BlackRock’s IBIT led the market by attracting over 6,300 BTC worth more than $535 million this week.
  • Despite positive flows overall, Grayscale’s GBTC faced outflows on multiple days.

This week, investor sentiment around Bitcoin ETFs saw a sharp rebound, signaling renewed confidence in digital asset investments. Total net inflows across spot Bitcoin ETFs reached $744.3 million by Friday, with gross inflows nearing $785.6 million. The shift followed a recent phase of fund withdrawals, marking a clear turnaround in market activity.

Bitcoin ETF Inflows Rise Led by IBIT

IBIT from BlackRock led all other ETFs this week by attracting the largest inflow volume throughout the peer group. Between Monday and Friday, IBIT’s Bitcoin asset pool collected 6,342.47 BTC, which amounted to $535,582,902. On March 21, IBIT received 1,250 BTC, which amounted to $105.5 million.

During this period, IBIT demonstrated stability by acquiring new BTC, but Grayscale’s GBTC continued to lose funds at a rate of 260.15 BTC. IBIT stood out as the one ETF recording inflows, which helped raise the total flows on March 21. IBIT experienced a solid growth pattern on that day, collecting total inflows amounting to 987.12 BTC.

On March 20, BlackRock received 1,980 BTC in inflows, which topped Fidelity FBTC with 105.98 BTC and VanEck HODL with 137.08 BTC. Each day of the week saw positive ETF movements, reinforcing investor interest in Bitcoin-related products. During the period, BlackRock received the largest capital, solidifying its position as the top ETF provider in the competition.

Ethereum ETFs Struggle With Heavy Outflows

Ethereum Exchange-Traded Funds experienced extended periods of investor retreat during the week, with considerable cash leaving their funds. Total flows amounted to—$102.9 million through— $389.2 million of overall withdrawal. The lack of investor support contrasted sharply with Bitcoin ETF performance.

Ethereum ETFs faced consistent losses as investors continued shifting focus to Bitcoin-based products. Market hesitation toward Ethereum has driven this trend possibly because of market unpredictability or changing investor priorities. Ethereum fund managers proved unsuccessful in their pursuit of new investment capital through this time period.

Greatly reduced support for Ethereum ETFs has resulted in less stability for short-term pricing and changing market position dynamics. Fund providers experience difficulties changing the current outflow trend because investors maintain their reserved attitude. Ethereum products have seen declining momentum and reduced institutional engagement compared to Bitcoin ETFs.

Large Bitcoin Transfer Adds to Market Speculation

Whale Alert reported a large Bitcoin transaction involving 2,999 BTC valued at $252.5 million on March 21. The cryptocurrency community started paying close attention to this Bitcoin transfer, which took place between wallets without known owners. Both the origin and endpoint of the transfer remained unknown, which triggered discussions among users.

Some market participants viewed the move as bullish, anticipating further price support for Bitcoin. However, many doubted the transaction’s motivations because they believed there was insufficient transparency. The lack of any exchange-traded fund linked to the transfer prevents analysts from determining its effects on investment movement.

Whale Buys $270M ETH: Can Ethereum Price Rebound Soon?

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  • A whale purchased 150,000 ETH worth $270 million this week.
  • Ethereum’s price dropped 4 percent after a 7 percent rally.
  • Whale activity suggests growing institutional confidence in ETH.

Ethereum price shows signs of recovery after recent volatility, with strong whale activity and increasing user interest pushing sentiment upward. A $270 million ETH purchase has drawn attention, sparking discussion about a potential price reversal. As the crypto market gains traction, ETH appears positioned for a possible bounce amid positive developments.

Whale Buys $270M Worth of Ethereum

Ethereum’s price decreased nearly 4% this week, although it experienced a short-lived 7% rise on Wednesday. The market shifted its focus when an investor used ETH worth $270 million to purchase 150,000 amounts of it. The actions of whales in cryptocurrency tend to indicate institutional trust as they conduct their purchases during uncertain market times.

These enormous investment amounts indicate whales prefer to make purchases during periods of market decline since such behavior demonstrates their baseless projections for sustainability. Approaching market trends indicates in their strategic behavior that they anticipate price recovery because whales typically operate before widespread market patterns appear. Market sentiment and ETH price stability, may benefit from this whale transaction during the next period.

The market entry point occurred right as ETH began moving towards reclaiming price levels higher than $2,000. A strong buying strategy could help the market bounce back despite the current price volatility. Based on current price trends, ETH has the potential to reach additional resistance areas during the next few days.

Several on-chain metrics log new enthusiasm for Ethereum while backing up bullish predictions. The current count of daily active addresses has recently surpassed 463,000, demonstrating a 26% growth compared to the previous four-day statistics. The current increase in this metric stands out because the number previously reached a low point at 367,000.

User interaction and network utilization tend to result in higher address activity levels. Price momentum strengthens when more users become involved because whale investors show increased interest. New user activity rose during the period when network usage reached its peak point this week.

Data visibility on the blockchain demonstrates that market sentiment has begun to change after weeks of stagnation. Ethereum stands a better chance of securing lasting upward movement.

Capital Flows Shift Back Toward Ethereum Ecosystem

Reports from cross-chain monitoring systems show capital returns to the Ethereum blockchain from rival blockchain platforms. Investment capital worth $97 million shifted from Binance Smart Chain into Ethereum, demonstrating rising investor interest in Ethereum. The funds from various networks, including Solana, Arbitrum, and Base, exceeded $160 million.

The capital movements demonstrate investors are selecting Ethereum for their portfolios because they anticipate better regulatory standards and approve of ETF developments. The Ethereum ecosystem enjoys stable investor confidence due to shifting funds from other blockchain networks. The current capital flow strengthens the bullish outlook that recent price movements and user behavior data have established.

The heads of financial institutions have signaled their belief in Ethereum ETF approval by including staking, among other factors. Improvements in the regulatory framework will allow spot ETFs to facilitate the entry of institutional capital toward ETH investments.

Ethereum ETFs See $10.4M Outflow as Bitcoin ETFs Rebound

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  • Bitcoin spot ETFs recorded a net inflow of $13.33 million on March 12, reversing a seven-day outflow streak.
  • The total cumulative net inflow for Bitcoin ETFs increased to $35.42 billion, signaling renewed investor confidence.
  • The total trading value of Bitcoin ETFs reached $2.01 billion, reflecting strong market activity despite recent volatility.

Bitcoin spot ETFs saw a net inflow of $13.33 million on March 12, marking a turnaround after a week of outflows. The inflow increased the cumulative net total to $35.42 billion, relieving investors. Despite recent sell-offs, trading activity remained strong, with the total value traded reaching $2.01 billion.

Bitcoin ETFs Experience Positive Reversal

Bitcoin ETFs have been struggling with continuous outflows, including a $371 million net outflow on March 11. BlackRock’s iShares Bitcoin Trust (IBIT) outflow amounted to $47.05 million, adding to the existing negative movement. The outflow reported by Grayscale Bitcoin Trust ETF amounted to $11.81 million because investors showed extra caution during this period.

The asset flow data demonstrated that few funds received considerable money from investors as they regained their focus. The influx to Ark & 2 (ARKB totaled $82.60 million during this period, but Grayscale’s BTC fund collected $5.51 million. The market regained its balance through modest fund influxes from BITB, HODL, BRRR, and other smaller funds.

The overall net assets of Bitcoin ETFs reached $92.45 billion, representing 5.61% of Bitcoin’s total market cap. Over the days of continuous outflows Bitcoin ETFs received positive market feedback when their direction changed. While volatility remains, the latest data indicates potential stabilization in Bitcoin ETF investments.

Ethereum Spot ETFs Continue Facing Outflows

Ethereum ETFs saw a net outflow of $10.4 million on March 12, adding to the downward trend in recent weeks. ETHE experienced a $3.54 million outflow, reducing its accumulated value to $606.14 million. BlackRock’s ETHA ETF maintained stability through its steady $4.20 billion net inflow as it showed no signs of either inflow or outflow activity.

Fidelity Ethereum ETF (FETH) recorded an inflow of $3.75 million, slightly improving its cumulative total to $1.43 billion. However, Bitwise Ethereum ETF (ETHW) and VanEck Ethereum ETF (ETHV) showed no movement. Market uncertainty has caused investors to demonstrate caution based on their absence of new investments.

The net assets of Ethereum spot ETFs totaled $6.66 billion, while the total value traded exceeded $299.41 million. Institutional buying for Ethereum is currently lower because market capitalization stands at 2.92% of the total Ethereum market value. Investors remain wary as Ethereum ETFs struggle to attract consistent capital.

Bitcoin Holders Face Pressure as Prices Decline

Bitcoin holders experienced losses because they purchased at its highest point of $109,000 during January when prices started falling. Intraday data recorded by Glassnode shows extensive panic-driven inactivity that strengthens price declines. The firm projected that continued market selling activities had the potential to drive Bitcoin pricing down to $70,000.

Individuals with Bitcoins at purchase prices between $71,300 and $91,900 currently hold substantial negative investment value. The analysis from Glassnode confirms that investors with peak purchases at $109,000 suffer from substantial financial losses that force them to sell their assets. As selling pressures continue, Bitcoin will establish a brief market base around the $70,000 zone.

Franklin Templeton’s EZPZ ETF Expands Crypto Investment Access

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  • Franklin Templeton launched the Franklin Crypto Index ETF under the ticker EZPZ.
  • The ETF trades on the Cboe BZX Exchange, offering exposure to Bitcoin and Ethereum.
  • The fund follows CF Benchmark’s Institutional Digital Asset Index for tracking performance.

Franklin Templeton has introduced the Franklin Crypto Index ETF, trading under the ticker EZPZ, further expanding its presence in digital assets. The ETF debuted on the Cboe BZX Exchange, offering investors weighted exposure to Bitcoin and Ethereum. This launch continues the asset manager’s efforts to improve its cryptocurrency investment product lineup.

Franklin Templeton Expands Crypto Investment Offerings

The Franklin Crypto Index ETF tracks CF Benchmark’s Institutional Digital Asset Index, which measures the performance of regulated cryptocurrencies. The fund’s allocation comprises approximately 87% Bitcoin and 13% Ethereum, mirroring their market capitalizations. Coinbase serves as the custodian, ensuring institutional-grade security and compliance with financial regulations.

The ETF provides investors a diversified way to invest in the top two digital assets without managing individual holdings. Following a regulated benchmark aligns the fund with institutional investment standards and capital market requirements. This strategy enhances accessibility for both retail and institutional investors seeking exposure to digital assets.

Franklin Templeton continues to expand its digital asset offerings by providing cost-efficient and structured crypto investment vehicles. The company launched the Franklin Bitcoin ETF (EZBC) in January 2024 and the Franklin Ethereum ETF (EZET) in July 2024. The new index ETF strengthens its position as a major player in the cryptocurrency investment space.

SEC Approves New Crypto Investment Funds

The launch of EZPZ follows a shift in US regulatory policy, allowing more cryptocurrency-focused investment products in traditional markets. In December, the SEC approved Franklin Templeton’s and Hashdex’s crypto index ETFs, marking a more open approach to digital asset investments. These approvals indicate growing institutional acceptance and regulatory clarity in the crypto sector.

Hashdex launched its Nasdaq Crypto Index US ETF (NCIQ) on February 14, becoming the first in the market. Franklin Templeton’s EZPZ joins the competition, expanding investment options for those seeking broad crypto exposure. These ETFs provide diversified and simplified access to digital assets while adhering to compliance standards.

The regulatory shift coincides with changes in US leadership, influencing the country’s stance on cryptocurrency. After winning the 2024 elections, Donald Trump took office on January 20, pledging to strengthen the US crypto market. Since then, asset managers have increased filings for ETFs tracking altcoins, anticipating further regulatory adjustments.

New Crypto ETFs Gain Institutional Interest

With the success of Bitcoin and Ethereum ETFs, financial institutions are exploring additional crypto investment products. Industry leaders expect growing demand for ETFs covering other digital assets, including Solana, XRP, and Litecoin. This expansion reflects rising institutional interest and investor appetite for diversified cryptocurrency exposure.

The emergence of more crypto-index ETFs demonstrates the evolution of digital asset investment strategies. Asset managers respond to market demand by creating products that simplify access to blockchain-based assets. As regulatory clarity improves, financial firms will likely introduce more diversified crypto funds to attract investors.

Franklin Templeton’s latest ETF underscores the increasing role of digital assets in traditional finance. The company remains committed to expanding its crypto offerings, aligning with the evolving regulatory environment. With EZPZ, investors now have another option to gain structured exposure to Bitcoin and Ethereum compliantly.

Ethereum ETFs Surge $393M While Bitcoin ETFs Face Crisis

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  • Ethereum ETFs in the U.S. recorded $393 million in inflows this month, showing strong investor confidence in Ethereum.
  • Bitcoin ETFs faced $376 million in outflows, indicating a shift in investor sentiment away from Bitcoin.
  • Carry trading strategies and bullish sentiment increased demand for Ether ETFs.

Investor sentiment has shifted in the cryptocurrency market, with Ethereum ETFs seeing significant inflows while Bitcoin ETFs record outflows. Ether ETFs in the U.S. have attracted $393 million this month, whereas bitcoin ETFs have lost $376 million. The market remains volatile, but analysts expect ether’s price to rise due to upcoming network upgrades and institutional interest.

Ethereum ETFs See Strong Inflows Despite Market Volatility

Ethereum ETFs have experienced a surge in demand, with cumulative inflows reaching $393 million in February. This figure is seven times higher than January’s inflows, reflecting growing investor interest. The funds recorded outflows on only two trading days, indicating sustained confidence.

Carry trading strategies have contributed to the rising inflows, as traders capitalize on market inefficiencies. Investors purchase spot ETFs while shorting ether futures on the Chicago Mercantile Exchange. Some inflows stem from bullish sentiment, with traders positioning themselves for potential gains.

Despite the strong inflows, ether’s price remains range-bound between $2,600 and $2,800. The February 3 price crash to $2,000 did not deter investors, as they continue to shift toward ether. Analysts anticipate future price increases, driven by Ethereum’s network upgrades and rising institutional adoption.

Bitcoin ETFs Face Continued Outflows Amid Weak Sentiment

Bitcoin ETFs in the U.S. have suffered net outflows of $376 million this month, signaling declining investor confidence. These funds have seen inflows on only four trading days, showing weak demand. This trend contrasts with the positive momentum observed in Ethereum ETFs.

Market conditions have remained unfavorable for Bitcoin, with the cryptocurrency trading below $100,000. Volatility in memecoins and shifting investor interest have contributed to its lackluster performance. Traders are diversifying into ether, which offers new growth prospects.

Bitcoin ETFs initially attracted strong inflows when they launched, but recent trends indicate a cooling period. The shift toward ether suggests that investors are looking for alternative opportunities. Institutional players may reconsider their Bitcoin holdings as market dynamics evolve.

Ethereum’s Pectra Upgrade Could Drive Future Gains

Ethereum’s upcoming Pectra upgrade, scheduled for April 8, is expected to improve network performance and enhance staking mechanics. The upgrade aims to optimize execution and consensus layers, boosting efficiency. These improvements could help Ethereum compete with rival Layer 1 blockchain like Solana.

Ethereum founder Vitalik Buterin has proposed a 10x increase in the Layer 1 gas limit. This change would enhance application development and network security, making Ethereum more attractive to developers and businesses. The ETH Foundation’s recent $120 million investment in DeFi projects further underscores its commitment to innovation.

BlackRock’s Ethereum ETF Options Face Delay—Will SEC Approve It?

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  • The SEC has delayed its decision on BlackRock’s Ethereum ETF options trading until April 9, 2025.
  • The agency extended the review period to assess market stability, investor protection, and potential risks.
  • BlackRock’s spot Ethereum ETF was approved in May and began trading alongside other similar funds.

The U.S. Securities and Exchange Commission postponed its decision on BlackRock’s request to list and trade options on its Ethereum ETF. The agency announced it would decide by April 9, 2025, whether to approve or reject the proposal. The delay allows regulators more time to evaluate the rule change and any potential risks.

SEC Extends Review of BlackRock Ethereum ETF Options

BlackRock’s spot Ethereum ETF received approval in May and launched trading alongside eight similar funds. Later, Nasdaq, acting on behalf of BlackRock, submitted a request to list and trade options on the iShares Ethereum Trust. The SEC has extended its review period, citing the need to examine the proposal thoroughly.

The commission stated that assessing the proposed rule change and any concerns raised requires additional time. The delay ensures a careful review of market stability, investor protection, and the impact on financial markets. Regulators emphasized that they would decide after fully considering all relevant factors.

BlackRock remains one of the leading asset managers pursuing cryptocurrency-related investment products. The firm’s spot Bitcoin ETF received similar regulatory scrutiny before gaining approval. Its Ethereum ETF faces comparable challenges, particularly regarding derivative trading risks.

Concerns Raised Over Ethereum ETF Options Trading

The SEC’s delay follows responses from industry groups regarding Nasdaq’s proposal. Better Markets, a nonprofit organization advocating for a more muscular financial system, urged caution over options trading for crypto ETFs. The group emphasized Ethereum’s high volatility and potential risks to retail investors.

Benjamin Schiffrin, Better Markets’ director of Securities Policy, expressed concerns about options trading leading to investor losses. He warned that sophisticated traders might exploit retail investors through complex derivatives. The organization also noted that Bitcoin and Ethereum ETFs carry similar volatility risks.

Regulators have been scrutinizing crypto-related financial products due to potential market manipulation. The SEC has prioritized protecting retail investors from excessive risks tied to derivatives. Market analysts expect the agency to weigh these factors heavily before deciding.

Fidelity’s Ethereum ETF Options Await SEC Review

The SEC also requested public comments on a similar proposal from Cboe BZX Exchange Inc. on behalf of Fidelity. The proposal seeks approval to list and trade options on Fidelity’s spot Ethereum ETF. The agency has invited market participant feedback to understand potential risks and benefits better.

Interested parties have 21 days to submit comments after the notice is published in the Federal Register. The SEC often considers public input before ruling on major financial products. This step ensures transparency and helps regulators gauge market sentiment.

Fidelity’s proposal reflects the growing demand for Ethereum-related investment options. Institutional and retail investors have shown increasing interest in crypto ETFs. The SEC’s final decision will significantly impact the future of Ethereum derivatives in traditional markets.

SEC Expedites Approval for Bitwise Bitcoin and Ethereum ETF

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  • SEC approved Bitwise Bitcoin and Ethereum ETF for NYSE Arca after a 45-day review, which was faster than the typical 240 days.
  • Bitwise ETF allocates funds across Bitcoin, Ethereum, and cash, using CME CF benchmarks to calculate daily NAV.
  • Bitwise filed for Solana, XRP, and Dogecoin ETFs, expanding offerings in response to growing institutional interest.

The U.S. Securities and Exchange Commission (SEC) approved the Bitwise Bitcoin and Ethereum ETF on Thursday, January 30, 2024, allowing its listing on NYSE Arca. The hybrid ETF provides investors direct exposure to Bitcoin (BTC) and Ethereum (ETH) within a single fund, with Coinbase Custody overseeing asset management and security.

Bloomberg senior ETF analyst Eric Balchunas commented on the rapid approval, suggesting it could indicate a more proactive SEC. He noted the approval process took just 45 days, a significant reduction from the typical 240-day review period. “I really want to interpret this as a sign the new SEC will be faster, but no way to know really,” he posted on X.

Bitwise’s Growing Influence in the Crypto ETF Market

The Bitwise ETF will hold Bitcoin, Ethereum, and cash, with asset allocations reflecting market capitalization. The fund’s net asset value (NAV) will be calculated daily using CME CF Bitcoin and Ether benchmarks. This move follows approvals for Hashdex and Franklin Templeton ETFs in December, signaling a growing industry-friendly stance by the SEC.

Bitwise’s decision to allow investors to buy or redeem shares in Creation Units of 10,000 shares per unit aims to provide a streamlined, cost-efficient investment vehicle. The ETF is structured to reflect the combined value of Bitcoin and Ethereum, making it an attractive choice for institutional investors seeking exposure to the two largest cryptocurrencies.

NYSE Arca filed the 19b-4 application on November 26, 2024. The SEC accelerated its approval following a public comment period and revisions on January 21, 2025. The move bolsters Bitwise’s growing influence in the crypto ETF market, positioning it as a key player in institutional crypto adoption.

Bitwise has also filed applications for Solana (SOL), XRP (XRP), and Dogecoin (DOGE) ETFs. However, the SEC’s willingness to approve a meme coin ETF remains uncertain due to its speculative nature. The outcome of these filings will shape the future of alternative crypto asset investment products.

Meanwhile, the Bitwise 10 Crypto Index Fund remains under review. This fund aims to track the performance of the top cryptocurrencies based on market capitalization. The asset allocation includes 83% Bitcoin and 17% Ethereum, with weights determined by multiplying each asset’s pricing benchmark by its circulating supply.

Bitwise continues expanding its crypto investment offerings, launching actively traded Bitcoin and Ethereum ETFs. The firm recently filed for a Dogecoin ETF, responding to rising institutional interest in meme-based assets. In late 2024, Bitwise also applied for XRP and Solana ETFs, broadening its scope beyond Bitcoin and Ethereum.

Read More: Bitcoin and Ethereum Dominate Crypto Narrative as Prices Surge

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