SEC Faces Deadline on Crypto ETF Options Rule Change

A deadline is approaching on September 27, 2026, for the US Securities and Exchange Commission (SEC) to decide on a rule change proposed by the Nasdaq ISE exchange. The change aims to simplify the process of listing options on cryptocurrency exchange-traded products (ETPs), such as those holding Bitcoin, Ethereum, Solana, XRP, Chainlink, and Hedera.

The current system requires each new ETP listing to undergo a case-by-case review by the SEC. The proposed rule change would introduce a list of measurable criteria for ETPs to meet, allowing exchanges to list options without needing separate approval from the regulator.

The rule test has two thresholds: 85% of net asset value (NAV) must be accounted for by assets with tradable futures markets, and each digital commodity must have an average worldwide daily market value of $700 million. A third condition requires derivatives on the fund's holdings to trade on a market monitored by a member of the Intermarket Surveillance Group.

The SEC has 45 days to approve or reject the filing, which was published in the Federal Register on August 13, 2026. If the agency extends this period to 90 days, the decision would be made around November 11, 2026.