PANews reported on March 13 that according to Decrypt, Cboe BZX Exchange has submitted a proposed rule change to the U.S. Securities and Exchange Commission (SEC) on behalf of Invesco Galaxy, aiming to allow its spot Bitcoin ETF and Ethereum ETF to conduct physical creation and redemption of shares. Physical redemption and creation allow the direct exchange of the ETF's underlying assets (Bitcoin or Ethereum) with ETF shares, thereby bypassing the need for cash. This approach eliminates the need for participants to sell the underlying cryptocurrency to create shares, reduces the bid-ask spread, and avoids additional brokerage commissions. As the SEC reviews Cboe's proposed rule changes, a public comment period has been opened to allow stakeholders to share their ideas before a final decision. The document states that authorized participants - institutions involved in the creation and redemption process - will be eligible to use the physical trading model. Individual investors will still need to use a cash-based model when purchasing or redeeming ETF shares.