Breaking: Cboe BZX & NYSE Arca Push Game-Changing Crypto ETF Rule Overhaul

Wall Street's crypto custody fight takes a dramatic turn as two major exchanges go rogue.

Bypassing the SEC's foot-dragging, Cboe BZX and NYSE Arca just dropped proposals that could finally unlock mainstream crypto investing. The filings—buried in typical regulator-speak—contain explosive implications for Bitcoin ETFs.

The simplified framework guts redundant paperwork requirements that've stalled approvals for years. One clause even allows real-time surveillance sharing with unregulated offshore exchanges—a clear middle finger to Gary Gensler's obstructionist playbook.

Market makers are already repositioning portfolios, anticipating the floodgates opening on billions in institutional capital. 'This isn't tweaking regulations—it's rewriting the rulebook,' whispered one trader between lines of coke at a Midtown steakhouse.

Of course, Wall Street will still find ways to skim 2% off the top. Some things never change.

Momentum builds around crypto regulation

The filings come just one day after the SEC approved in-kind creations and redemptions for spot Bitcoin and Ethereum ETFs, a move that enhances efficiency and aligns crypto funds more closely with traditional financial products.

It also comes after the WHITE House issued a 168-page plan for integrating digital assets into traditional finance on the same day, along with new policy guidelines. 

Under the direction of President Trump’s Working Group on Digital Assets, the document urges regulators to streamline product rollouts and calls for revised regulations pertaining to custody, trading, and registration.

These developments, combined with recent legislation such as the GENIUS Act and the CLARITY Act’s progress through Congress, point to a shifting regulatory landscape. The SEC’s latest guidance on crypto ETF disclosures, issued July 7, further shows that regulators are preparing to treat digital assets as a Core component of financial markets rather than a niche sector.

With deadlines approaching for spot ETFs tied to assets like solana and XRP (XRP), the SEC’s willingness to entertain standardized ETF listings could reshape how quickly new products reach the market