SEC Approves Listing of Multi-Cryptocurrency Asset Trust Options on NYSE American

BlockBeats News, April 2nd, the U.S. Securities and Exchange Commission (SEC) announced the approval of NYSE American's rule change application to list a multi-cryptocurrency commodity trust option. Previously, only options for listing a single cryptocurrency asset trust were allowed, but it has now been expanded to support commodity trust options holding multiple cryptocurrency assets.

The listing requirements are as follows:

Each cryptocurrency asset held by the trust must individually meet a high liquidity standard — with an average daily market value of at least $700 million over the past 12 months, and the derivative contracts for that cryptocurrency asset must be subject to a comprehensive surveillance-sharing agreement with the trading platform.

The trust shares must meet the trading platform's initial and continued listing standards for ETF options and be NMS securities.

Following SEC review, it was determined that this rule change would allow investors to have more exposure to cryptocurrency assets and hedging tools, without needing to seek additional SEC approval each time, thus enhancing market efficiency.