Cboe Seeks SEC Approval for 3x Bitcoin and Ether Leveraged ETFs
Cboe BZX Exchange has filed a proposed rule change seeking U.S. Securities and Exchange Commission approval to list a group of 3x leveraged commodity exchange-traded funds, including products tied to Bitcoin and Ether.
The proposed lineup includes 3x Gold, Silver, Bitcoin, Ether, Crude Oil and Natural Gas ETFs, which would seek to deliver three times the daily performance of their underlying assets through futures contracts traded on CME or COMEX. The funds would hold cash and cash equivalents as collateral.
Volatility Shares LLC would sponsor the funds, which would be organized under the VS Trust. A related Form S-1 registration statement is also expected to be filed under the Securities Act of 1933.
The products would be structured as commodity pools rather than traditional investment companies operating under the Investment Company Act of 1940. This structure places the funds under Commodity Futures Trading Commission oversight in addition to the SEC processes governing their exchange listing and securities registration.