Statement Summary
The SEC has approved new generic listing standards for exchanges to list and trade exchange-traded products (ETPs) that hold spot commodities, including digital assets. This decision allows exchanges to list Commodity-Based Trust Shares without prior approval from the SEC, enhancing investor access to digital asset products. SEC Chairman Paul S. Atkins emphasized that this move fosters innovation while maintaining investor protection. Additionally, the SEC has approved the Grayscale Digital Large Cap Fund, which holds digital assets, and specific p.m.-settled options related to Bitcoin ETF indices. This initiative aims to streamline the listing process and provide regulatory certainty for the investment community.
Original Statement
The Securities and Exchange Commission today voted to approve proposed rule changes by three national securities exchanges to adopt generic listing standards for exchange-traded products that hold spot commodities, including digital assets. As a result, the exchanges may list and trade Commodity-Based Trust Shares that meet the requirements of the approved generic listing standards without first submitting a proposed rule change to the Commission pursuant to Section 19(b) of the Exchange Act.
“By approving these generic listing standards, we are ensuring that our capital markets remain the best place in the world to engage in the cutting-edge innovation of digital assets. This approval helps to maximize investor choice and foster innovation by streamlining the listing process and reducing barriers to access digital asset products within America’s trusted capital markets,” said SEC Chairman Paul S. Atkins.
Division of Trading and Markets Director Jamie Selway said, “The Commission’s approval of the generic listing standards provides much needed regulatory clarity and certainty to the investment community through a rational, rules-based approach to bring products to market while ensuring investor protections.”
In addition to the approval of the generic listing standards for Commodity-Based Trust Shares, the Commission approved the listing and trading of the Grayscale Digital Large Cap Fund, which holds spot digital assets based on the CoinDesk 5 Index. The Commission also approved the listing and trading of p.m.-settled options on the Cboe Bitcoin U.S. ETF Index and the Mini-Cboe Bitcoin U.S. ETF Index with third Friday expirations, nonstandard expirations, and quarterly index expirations.
