Grayscale to Launch Bitcoin ETF Options After BlackRock’s Record

Grayscale’s Bitcoin Trust (GBTC) and Bitcoin Mini Trust (BTC) will offer options trading to expand the ecosystem for U.S.-listed Bitcoin exchange-traded products (ETPs). The move follows BlackRock’s iShares Bitcoin Trust (IBIT), which made waves with record-breaking options trading activity on its debut, helping push Bitcoin to a new all-time high of $94,041.

Expanding Bitcoin ETF Tools

Grayscale’s rollout comes just a day after the Options Clearing Corporation (OCC) approved Bitcoin ETF options. The firm swiftly updated its prospectus for a Bitcoin Covered Call ETF, a strategy aimed at generating income by writing and buying options contracts while holding Bitcoin or GBTC as collateral.

Bloomberg ETF analyst James Seyffart highlighted Grayscale’s quick response, noting on X (formerly Twitter), “They’ve filed an updated prospectus for their Bitcoin Covered Call ETF. The fund will offer exposure to $GBTC & $BTC while writing &/or buying options contracts on Bitcoin ETPs for income.”

BlackRock Sets a High Bar

BlackRock’s IBIT options debut set a new standard, with nearly $1.9 billion in notional exposure traded on its first day. Investors exchanged 354,000 contracts, including 289,000 calls and 65,000 puts—a 4.4:1 call-to-put ratio, indicating significant bullish sentiment on Bitcoin’s price.

Bloomberg’s senior ETF analyst Eric Balchunas described the activity as “unheard of,” comparing it to ProShares’ BITO futures ETF, which recorded $363 million in trading volume on its first day—less than a fifth of IBIT’s performance.

A Pivotal Moment for Bitcoin ETFs

Grayscale’s entry into options trading marks another milestone for crypto ETFs, especially after the firm’s legal victory over the SEC last August. The U.S. Court of Appeals ordered the SEC to revisit its denial of Grayscale’s application to convert its Bitcoin Trust into a spot ETF, challenging nearly a decade of regulatory resistance.

The timing couldn’t be better for Grayscale. Bitcoin’s recent surge, fueled by investor enthusiasm following Donald Trump’s pro-crypto presidential victory, underscores the growing institutional appetite for Bitcoin-linked products.

The Big Picture

Grayscale’s move into Bitcoin ETF options not only expands its product offerings but also signals the rapid evolution of the crypto investment landscape. With Bitcoin trading at record highs and institutional interest at unprecedented levels, options trading adds another layer of accessibility and strategy for investors.