The SEC has approved Cboe for listing binary options based on the KPIs announced by the listed company.

On October 15th, the U.S. Securities and Exchange Commission (SEC) approved the launch of a binary options product by the Chicago Options Exchange (Cboe). This product involves trading on key performance indicators disclosed by listed companies, with targets including companies such as Coinbase, Robinhood, and Marathon Digital (MARA). Traders can use these contracts to make “yes/no” decisions regarding specific metrics, such as Coinbase’s trading volume, Marathon Digital’s Bitcoin production, and Robinhood’s customer data and revenue figures. Robinhood is expected to be the first broker to offer such products to retail clients. From the perspective of the crypto market, this opens up new opportunities for traders to place bets directly on Bitcoin prices, allowing them to trade based on the performance of crypto-related companies. The SEC’s approval applies only to securities options with certain structures. It also leaves room for contracts with different structures to be regulated by the Commodity Futures Trading Commission (CFTC). SEC Chairman Paul S. Atkins stated that this move reflects “a new era of regulatory coordination, financial innovation, and investor choices.”