The SEC's approval of options trading on BlackRock's Bitcoin ETF introduces a significant shift in the world of bitcoin trading.

This marks a new development for investors who previously couldn't access bitcoin options within U.S. markets.

Roundtable anchor Rob Nelson led the discussion with Ari Pine, Co-Head of Digital Exotics at BlockFills, to explore the implications of this new opportunity for both retail and institutional investors.

Ari Pine explained, “It becomes probably most importantly accessible to a far wider group of people. The U.S. domestic investing community, both on the retail and on the institutional side, will now have this available.” He emphasized that the availability of banking resources would expand bitcoin's options market, adding, “It will enable one to be able to make pretty good relative value bets between MicroStrategy stock and options, the mining sector, and now bitcoin itself.”

Rob Nelson highlighted a point brought up by Jon Najarian, a commodities trader in the traditional finance space, saying, “If you can trade those options, that’s a big deal if you're an investor and you could actually trade those options in crypto, in bitcoin.” Pine expanded on this, noting, “This does enable one to take a bet that allows you to go long premium with a limited risk investment in a sector that has been traditionally extremely volatile."

Pine also touched on the opportunity to collect options premiums in bitcoin trading, pointing out that bitcoin's higher implied volatility compared to stocks could present lucrative opportunities. He explained, “If the VIX right now is something like 15.2 and implied volatility on bitcoin is between the mid-forties and mid-fifties, that probably offers a significant opportunity... to participate in that market.”