Nasdaq wants to remove position limits on Bitcoin and Ether ETF options

Nasdaq opens the door aiming to remove limits on spot Bitcoin Ether ETF options. Behind the jargon, a simple idea: integrate crypto into classic derivatives, without exceptional treatment.

A rule that jumps, and it is not a detail

Nasdaq filed a rule change with the SEC to remove the 25,000 contract cap (position and exercise) that applied to several options of Bitcoin and Ether ETFs listed on its exchange.

This removal covers several ETFs, notably those linked to BlackRock, Fidelity, Bitwise, Grayscale, ARK/21Shares, and VanEck. In short: this is not a micro-optimization for a single fund, but an upgrade of the “playing field.” The SEC removes the 30-day waiting; immediate measure, suspension possible within 60 days.

An option grants the right, without obligation, to buy or sell an asset at a set price. Caps exist on Bitcoin and ETH to limit overly concentrated positions, excessive speculation, and manipulation risks. Nasdaq believes these limits imposed unequal treatment compared to established commodity ETFs.

In practice, removing this cap can make options more useful for those managing risk at scale: institutional players, market makers, multi-asset managers. Less cap often means more flexibility to cover Bitcoin ETF exposure without patching fragmented positions.

But beware of the mirror effect: more capacity can also attract more directional activity. The issue is not “more speculation = necessarily better,” but rather: the options market becomes more mature, thus more liquid… and potentially more nervous on stress days.

The real signal: Nasdaq accelerates its crypto strategy

In November 2025, Nasdaq ISE also pushed a case to significantly raise limits on options linked to the iShares Bitcoin Trust (IBIT), targeting an increase up to 1 million contracts. This is not the move of a hesitant player. Indeed, it is the language of a stock exchange seeing structural demand.

This filing fits a trajectory. At the end of 2025, Nasdaq had already obtained the framework allowing the listing of options on crypto ETFs by treating them as trusts backed by commodities, while leaving certain limits in place. Now, we move to the next level: we harmonize, and in the same logic, Nasdaq also aligns crypto indices to strengthen overall coherence.