Federal Register #SR-BOX-2026-13

SEC Notice: Proposed Rule Change to Increase IBIT Options Limits by BOX Exchange LLC

This notice from the Securities and Exchange Commission (SEC) addresses a proposed rule change by BOX Exchange LLC regarding options trading limits: - Government buyer: Securities and Exchange Commission (SEC) - OEM/vendor mentioned: BOX Exchange LLC - Product affected: Options contracts for the iShares Bitcoin Trust ETF (IBIT) - Proposed change: Increase in position and exercise limits for IBIT options from 250,000 contracts to 1,000,000 contracts - Purpose: To accommodate increased demand and liquidity in the IBIT options market, while maintaining safeguards against market manipulation and supporting legitimate trading and hedging strategies - No procurement of goods or services is requested; this is a regulatory notice, not a solicitation - No part numbers, purchase quantities, or specific product/service requests are included

Description

The Securities and Exchange Commission has published a notice regarding a proposed rule change by BOX Exchange LLC. The rule change involves amending Rule 3120 to increase the position and exercise limits for options on the iShares Bitcoin Trust ETF. The notice indicates that the filing is effective immediately. The proposed increase aims to raise the position and exercise limits from 250,000 contracts to 1,000,000 contracts to accommodate increased demand and liquidity in the options market for this ETF. The change is intended to balance the prevention of market manipulation with the facilitation of legitimate hedging and trading strategies.

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