SEC approves first US 3x leveraged Bitcoin and Ether funds
- —US crypto funds were previously capped at 2x daily exposure
- —The funds will use BTC and ETH futures instead of spot assets
- —Trading has not started; launch depends on Cboe listing steps
- —Daily rebalancing means a 10% BTC gain then 10% drop leaves the fund down 9% vs 1% for Bitcoin
Why it matters: The approval opens the door to riskier exchange-traded crypto products in the US, though they suit only short-term trading.
Source: CryptoActu