Bitcoin Surges Above $85,000 as SEC Approves Leveraged ETFs

Bitcoin edged up on Sunday, trading above $85,000 as investors weighed a new U.S. regulatory development that could widen access to leveraged exposure to the world's largest cryptocurrency.

The U.S. Securities and Exchange Commission approved a Cboe BZX rule change on Friday, allowing the exchange to list six triple-leveraged exchange-traded products from Volatility Shares. These products target three times the daily performance of Bitcoin, Ethereum, and other cryptocurrencies, providing leveraged exposure through futures rather than directly holding the cryptocurrencies.

The decision does not mean the products are immediately available for trading. Registration requirements must still be completed before shares can be publicly offered. The development adds another potential route for investors seeking cryptocurrency exposure after the SEC separately proposed changes to crypto custody rules this week.