The NYSE may extend trading of Bitcoin ETFs for 22 hours each day.

The New York Stock Exchange (NYSE) has announced plans to extend weekly trading hours on the NYSE Arca equities exchange, which can accommodate the growing number of US-listed securities, including Bitcoin ETFs (exchange-traded funds).

NYSE Arca is the primary US exchange for listing and trading ETFs. These financial instruments will be particularly useful as investors' interest in Bitcoin ETFs and other cryptocurrency-related assets increases.

Bitcoin ETFs can be traded 22 hours a day.

The proposal, pending regulatory approval, would extend trading to 22 hours a day, 5 days a week. The sessions may last from 1:30 am to 11:30 pm Eastern Time (ET). This extended schedule will position NYSE Arca as a nearly hourly trading platform.

Traders from different time zones have increased access to US-listed stocks, crypto ETFs and closed-end funds. The NYSE believes the expansion will allow investors to trade more flexibly and better reflect the global and seasonal nature of today's financial markets.

“As the regulator of America's capital markets, the NYSE is pleased to lead the way in enabling exchange-based trading and funds for our US-listed companies to investors in time zones around the world,” the announcement reads. Kevin Tyrrell, Head of Markets, New York Stock Exchange.

This announcement caught the attention of ETF expert Eric Balchunas. The NYSE's proposal to extend its hours follows a dramatic approval in January as demand for the Bitcoin ETF surged. Crypto ETFs offer a regulated option for investors wary of the volatility or complexity associated with holding actual digital assets.

Read more: How to Trade Bitcoin ETF: A Step-by-Step Approach

In recent months, the US Securities and Exchange Commission (SEC) has also approved the launch of Bitcoin ETF options. These activities are widely seen as significant support for crypto-backed investment vehicles.

At the same time, bitcoin's reputation as a store of value, especially in times of economic uncertainty, has made it popular and attractive to a wider investor base. Therefore, the extended trading demand shows the momentum in the cryptocurrency market.

For the US financial markets and beyond

Currently, traditional US equity markets operate from 9:30 am to 4:00 pm ET. However, the constant 24/7 trading of the crypto market highlights a disparity that could affect the US market's ability to compete globally. Extending trading hours for Bitcoin ETFs could allow for more seamless participation from global investors.

This is especially true in Europe and Asia, which are often limited by current trade windows. The NYSE's proposed plan could meet this need and establish a more inclusive trading environment that believes in the increasingly digital and decentralized nature of global finance.

However, this plan still requires regulatory approval, which will be critical to ensure the change complies with US securities laws. To support extended trading, the NYSE will also require permission from US security data processors to ensure real-time data transparency for extended hours.

“The NYSE plans to file with the Securities and Exchange Commission revised rules for extended trading. During these extended hours, trades on NYSE Arca will continue to be cleared by the Depository Trust & Clearing Corporation, which recently announced plans to extend its hours.”

Read more: Crypto ETN vs. Crypto ETF: What's the Difference?

If approved, the plan will open a new chapter for Bitcoin ETFs, increasing liquidity and making these assets more accessible to investors around the world. While the proposal awaits regulatory approval, the industry anticipates how such a shift will redefine investor engagement. For one, it could lead to wider adoption of both traditional and digital financial assets globally.