Volatility Shares plans to launch both 3x and 5x leveraged ETFs for Bitcoin, Ethereum, Solana, and major US stocks.
The proposed ETFs aim to give traders high short-term exposure using futures swaps and options.
SEC approval is pending, but the ETFs could launch by late 2025 or early 2026 if cleared.
Volatility Shares has filed a new filing at the U.S. Securities and Exchange Commission (SEC). The company will introduce a line of leveraged exchange-traded funds (ETFs) based on both cryptocurrencies and large American companies. The proposal will have 3x and 5x leveraged ETFs, with Bitcoin, Ethereum, and Solana being some of the crypto assets.
This filing, made on October 14, includes a total of 27 ETF products. These funds aim to provide amplified daily exposure, either three or five times, to the underlying asset. The firm plans to use futures, swaps, and options to achieve this leverage. If approved, these ETFs could list on the CBOE BZX exchange.
Focus on High-Risk Trading Strategies
The move builds on the company’s earlier product, the 2x Bitcoin Strategy ETF, which launched in 2023. In May, Volatility Shares launched the first non-leveraged XRP futures ETF, XRPI, to offer safer XRP exposure on Nasdaq. With the new proposal, Volatility Shares expands its focus on short-term, high-risk trading products. The 5x leverage filing is considered the most aggressive in the crypto ETF space to date.
The filing includes plans for leveraged ETFs not only for cryptocurrencies but also for widely traded equities. These include Tesla, Nvidia, Coinbase, and MicroStrategy. The approach reflects a growing demand among traders for high-reward, short-term trading vehicles. Moreover, VolatilityShares applied for futures-based Solana ETFs that provide leveraged exposure of 1x, 2x, and -1x last year.
Leverage Amplifies Gains and Losses
Leveraged ETFs offer increased potential returns, but they also raise the risk of rapid losses. A 10% decline in Bitcoin, for example, could result in a 50% loss in a 5x leveraged ETF. Market stagnation can also eat into gains due to volatility decay.
These products are designed for experienced traders who can manage short-term exposure. As with other leveraged ETFs, expense ratios are expected to be higher than traditional offerings. Traders using these products often face increased fees due to the complex financial instruments involved.
Possible Launch Timeline and Regulatory Considerations
The proposed ETFs may become effective by December 29, 2025, if the SEC authorizes them. However, approval is not guaranteed. The regulatory body has yet to approve any 3x or higher leveraged crypto ETF. The timing of this filing may relate to concerns about regulatory delays due to a potential government shutdown.
Despite the risks, the filing signals growing interest in more aggressive crypto and equity trading tools. As Bitcoin’s price remains above $110,000, traders are looking for new ways to maximize short-term market movements. A final decision on the proposal is expected to arrive in early 2026.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
'Bitcoin ETF Performance Pales Next to Gold': Mike McGlone - U.Today
Mike McGlone, a Bloomberg strategist, argues that Bitcoin ETFs may not drive long-term growth for Bitcoin, which has underperformed compared to gold. Despite recent gains, Bitcoin's performance seems capped, suggesting a potential peak in crypto enthusiasm.
UToday4h ago
Nunchuk Launches Open-Source Bitcoin Tools for AI Agents With 'Bounded Authority'
In brief
Nunchuk released two open-source tools designed to let AI agents interact with Bitcoin wallets under strict limits.
The system uses shared wallets and approval policies so agents cannot spend funds beyond defined rules.
The tools aim to support automated financial tasks while
Decrypt4h ago
The U.S. government transferred 2.44 BTC to a certain CEX, worth about $177k
Gate News message. On April 10, according to Lookonchain monitoring, the U.S. government (funds seized involving Glenn Olivio) today deposited 2.44 BTC to a CEX, worth approximately $177k.
GateNews5h ago
BlackRock withdrew 2,700 BTC and 30,000 ETH from a certain CEX.
Gate News, April 10, according to Onchain Lens monitoring, BlackRock withdrew 2,700 BTC (worth $196.87 million) and 30,000 ETH (worth $67.42 million) from a certain CEX.
GateNews5h ago
Bhutan’s Bitcoin reserves are down by more than 70%, with the sovereign wealth fund DHI frequently transferring assets, drawing attention
The Royal Government of Bhutan recently transferred approximately $18 million worth of Bitcoin. Its holdings have decreased from about 13,000 BTC in 2024 to 3,774 BTC, a reduction of more than 70%. The assets are managed by Druk Holding, and the country uses hydropower to mine Bitcoin. The recent transfers may be related to infrastructure financing needs. Bhutan still remains one of the world’s major Bitcoin-holding countries.
ChainNewsAbmedia5h ago
Tom Lee: The market is showing signs of forming a bottom; Ethereum, BMNR, and Bitcoin are recommended.
Gate News message, April 10, renowned market analyst Tom Lee posted that there are increasing signs the market bottom has already formed, even though the overall market still generally remains skeptical. Tom Lee suggested that for investors who are still skeptical, they could consider buying assets that performed ahead during the U.S.-Iran war. He pointed out that Ethereum and BMNR are among his top picks, and Bitcoin is also included among the recommendations. Tom Lee believes that crypto assets have already proven themselves to be a store of value during wartime.
GateNews6h ago
