Defiance Files for 49 Proposed 3x Leveraged ETFs That Could Include Bitcoin-Focused Funds

  • 49 proposed funds offering 3X long and inverse exposure

  • Proposals include crypto firms, token-tracking ETFs, tech stocks and gold with explicit investor risk warnings.

  • Spot Bitcoin and Ethereum ETF demand helped spur filings; BTC ETFs hold roughly $150 billion in assets (CoinGlass data).

3X leveraged ETFs by Defiance Investments propose triple-long and inverse crypto and tech exposure; read the filing highlights and risk considerations — learn more now.

What are Defiance Investments’ proposed 3X leveraged ETFs?

Defiance Investments’ prospectus requests 49 new 3X leveraged and inverse ETFs, offering triple daily exposure to crypto firms, token-linked ETFs and select tech names. The filing lists single-stock, ETF and crypto ETP targets and repeatedly warns these funds are suited only for aggressive, short-term traders.

How do the proposed 3X leveraged crypto ETFs differ from existing 2X products?

Three-times leveraged ETFs aim to deliver approximately 3X the daily return of an underlying asset, versus 2X funds that seek double daily moves. Because leverage compounds daily, 3X funds amplify volatility and path dependency, increasing the chance of significant losses over multi-day holding periods. Regulators and market analysts have expressed caution.


Why did Defiance target crypto firms and token ETFs with 3X leverage?

Defiance targeted crypto firms and token-linked ETFs to meet rising investor demand for direct and derivative exposure to digital assets. The surge in spot Bitcoin and Ethereum ETF inflows — with Bitcoin-related funds commanding sizable assets according to CoinGlass — encouraged issuers to explore leveraged versions despite higher risk.

What specific companies and token ETFs are named in the filing?

The prospectus lists funds tied to Coinbase, MicroStrategy (Bitcoin treasury exposure), Robinhood, BitMine Immersion (Ethereum treasury exposure), Circle (USDC issuer), Grayscale mini-trust ETFs tracking Bitcoin and Ethereum, and a Solana ETF from Volatility Shares. The filing proposes both 3X long and 3X inverse share classes for many of these exposures.

Frequently Asked Questions

Will the SEC allow more 3X leveraged ETFs?

Recent filings — including Defiance’s — indicate the SEC is receiving applications for higher-leverage products. Market analysts, such as ETF.com senior analyst Sumit Roy, note the regulator may permit more volatile products, but approvals will depend on disclosures, structure and investor-protection considerations.

How should investors evaluate proposed 3X leveraged ETFs?

Evaluate leverage objectives, daily rebalancing mechanics, expense ratios, underlying liquidity, and prospectus risk disclosures. Compare historical one-day return replication and understand compounding effects for multi-day holdings. These funds are primarily for experienced, short-term traders.


Key Takeaways

  • Defiance filed for 49 3X ETFs: Proposals include crypto firms, token ETFs and tech stocks, with both long and inverse classes.
  • Higher leverage increases risk: 3X daily leverage amplifies volatility and can produce large multi-day divergences from expected returns.
  • Investor due diligence required: Read prospectuses, assess liquidity and model compounding before trading these products.

Conclusion

The Defiance prospectus signals a push to expand 3X leveraged ETFs across crypto and tech exposures, reflecting issuer interest in meeting aggressive trader demand. 3X leveraged ETFs may arrive if approved, but their complexity and high risk make careful evaluation essential. Monitor regulatory decisions and read fund disclosures before trading.







NEW: @Defiance_ETFs has just filed for just shy of 50 3X levered ETFs. Some on single stocks, some on other ETFs, some on crypto ETPs. Things are getting wild. — James Seyffart (@JSeyff) October 3, 2025

By: COINOTAG • Published: 2025-10-03 • Updated: 2025-10-03

Sources referenced in reporting: Defiance Investments prospectus filed with the U.S. Securities and Exchange Commission; commentary from Bloomberg analyst James Seyffart; data from CoinGlass; analysis quotes from ETF.com senior analyst Sumit Roy.

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