Bitcoin News Today: Nasdaq Elevates IBIT Options to Gold Standard Liquidity Tier

Nasdaq's International Securities Exchange (ISE) has submitted a proposal to the U.S. Securities and Exchange Commission (SEC) to quadruple the position and exercise limits for options tied to BlackRock's iShares Bitcoin Trust (IBIT), moving the product into the same liquidity tier as major global equity benchmarks like iShares MSCI Emerging Markets (EEM) and SPDR Gold Trust (GLD) [according to reports]. The current cap of 250,000 contracts per side has been cited as restrictive, hindering institutional strategies and market depth. Nasdaq argues that IBIT's rapid growth-now the largest Bitcoin options market by open interest, surpassing Deribit-warrants a realignment with high-liquidity ETFs [as research shows]. The proposed increase to one million contracts would mirror limits for EEM and SPDR Gold Trust, reflecting IBIT's status as a top-tier asset [according to market analysis].

The filing, dated November 21, 2025, underscores IBIT's surging demand, with average daily trading volumes exceeding 44.6 million shares and a market capitalization of $86.2 billion as of September 2025 [as reported]. Nasdaq emphasized that even a fully exercised one million contract position would account for just 7.5% of IBIT's float and 0.284% of the total Bitcoin supply, minimizing systemic risks [according to Nasdaq]. The exchange also seeks to remove position limits for physically settled FLEX IBIT options, aligning them with commodity-based ETFs like GLD and SPDR Gold Trust [as industry sources note]. This move aims to cater to large funds seeking customized hedging strategies, a critical step in mainstreaming Bitcoin derivatives.

Industry experts have welcomed the proposal. Jeff Park of Bitwise Asset Management noted the previous cap was "too low" to accommodate institutional demand, while Bloomberg's Eric Balchunas highlighted BlackRock's role in driving Bitcoin ETF innovation [according to market analysis]. Vincent Liu of Kronos Research predicted SEC approval, calling the adjustment "routine" for assets with proven volume [as analysts suggest]. Analysts suggest the change will enhance market efficiency, with tighter spreads and deeper order books, enabling larger players to hedge and structure products more effectively [according to industry experts].

The SEC has opened a public comment period until December 17, 2025 [as reported]. If approved, the move would signal Bitcoin's integration into institutional finance, offering a regulated framework for capital allocation and risk management. CoinLaw's analysis frames the proposal as a pivotal moment, with higher limits likely to attract hedge funds and other large players, accelerating Bitcoin's adoption as a mainstream asset [according to analysis].