The U.S. SEC reconsiders the approval decision for Nasdaq Bitcoin options in response to the CME legal challenge

According to CoinDesk, the U.S. Securities and Exchange Commission (SEC) has suspended its decision to approve the Nasdaq cash-settled Bitcoin index options (QBTC) and will re-examine it in response to a legal challenge raised by the Chicago Mercantile Exchange (CME). The SEC has frozen the approval until August 24, seeking feedback from all parties. QBTC will remain suspended until the commission completes its review.

The SEC conditionally approved the product for listing in May this year, but it requires an exemption from the CFTC. The CME raised objections in June, arguing that Bitcoin is a commodity and its options should fall under the exclusive jurisdiction of the CFTC, not the SEC. If the CME's claim is established, Nasdaq would need to register as a futures platform regulated by the CFTC or redesign the contracts.