The Securities and Exchange Commission (SEC) has given the green light to Nasdaq to list and trade cash-settled Bitcoin index options. This decision allows U. S. equity traders to access regulated crypto-linked options on Nasdaq for the first time. The options, which will trade under the ticker QBTC on the Philadelphia Stock Exchange (Phlx), are based on the Nasdaq Bitcoin Index, a benchmark that tracks one-hundredth of the CME CF Bitcoin Real Time Index.
These are European-style options, meaning they can only be exercised at expiration, and are cash-settled, so no actual Bitcoin changes hands. Instead, at expiration, holders receive the difference between the Bitcoin spot price and the strike price. The SEC's approval follows Nasdaq's initial filing in August 2024 and a formal proposal in September 2025.
This approval marks a significant advancement, as it moves beyond options tied to specific Bitcoin ETFs, like BlackRock's IBIT, offering broader exposure to the Bitcoin market. The move also signals a broader, more crypto-friendly tilt from the SEC. The final settlement value is the BRRNY (CME CF Cryptocurrency Reference Rate, New York Variant) on the expiration date, divided by 100.
Before trading can commence, Nasdaq still needs to secure exemptive relief from the Commodity Futures Trading Commission (CFTC). This is due to Bitcoin's classification as a commodity, which falls under the CFTC's jurisdiction. Once this final hurdle is cleared, the new options will provide institutions with additional tools for hedging, arbitrage, and risk management, further integrating Bitcoin into global capital markets.
