
BlackRock wins SEC approval for bigger IBIT options limit
- The SEC raised the options limit for BlackRock's IBIT to 1 million contracts.
- The higher cap could support more institutional trading.
- The decision reflects the continued growth of spot Bitcoin ETFs.
BlackRock won US Securities and Exchange Commission approval to increase the options position limit for its iShares Bitcoin Trust (IBIT) from 250,000 to 1 million contracts.
The higher limit follows rapid growth in IBIT, which has become the largest spot Bitcoin exchange-traded fund since launching in January 2024.
The SEC said IBIT's size and trading activity support the higher limit, while existing market surveillance and risk controls will remain in place.
The decision gives institutional investors more flexibility to hedge and trade Bitcoin (CRYPTO:BTC) exposure through IBIT options, while BlackRock shares were little changed.
IBIT is the largest spot Bitcoin ETF by assets and has attracted billions of dollars since US regulators approved spot Bitcoin ETFs in early 2024.
The approval adds to the expansion of regulated Bitcoin investment products as US regulators continue to approve new crypto-related market products.
At the time of reporting, Bitcoin price was $64,876.46.