The first leveraged crypto ETF will soon be available in the US.
Volatility Shares has announced that its 2x leveraged Bitcoin futures exchange-traded fund (ETF) will start trading this upcoming Tuesday. This will be the first leveraged crypto ETF available in the United States
The 2x Bitcoin Strategy ETF (BITX) by Volatility Shares will derive its value from CME Bitcoin Futures prices. The U.S. Securities and Exchange Commission (SEC) allowed the ETF to go effective on Friday, indicating a positive regulatory stance. Stuart Barton, Chief Investment Officer at Volatility Shares, confirmed that the application for the 2x ETF has not been denied, clearing the way for its launch.
A leveraged 2x ETF presents an opportunity for investors to gain exposure to Bitcoin by only putting up half the value of the actual Bitcoin investment. According to the prospectus filing, the ETF will correspond with the CME Bitcoin Futures Daily Roll Index.
This development follows the increasing interest in Bitcoin, with its value surpassing $30,000 and traditional investment companies like BlackRock submitting applications for spot Bitcoin ETFs to the SEC. The entrance of a leveraged crypto ETF in the U.S. market further demonstrates the growing acceptance and adoption of cryptocurrencies in the mainstream financial industry.
A leveraged 2x ETF presents an opportunity for investors to gain exposure to Bitcoin by only putting up half the value of the actual Bitcoin investment. According to the prospectus filing, the ETF will correspond with the CME Bitcoin Futures Daily Roll Index.
This development follows the increasing interest in Bitcoin, with its value surpassing $30,000 and traditional investment companies like BlackRock submitting applications for spot Bitcoin ETFs to the SEC. The entrance of a leveraged crypto ETF in the U.S. market further demonstrates the growing acceptance and adoption of cryptocurrencies in the mainstream financial industry.
