- Volatility Shares’ 2x Bitcoin Strategy ETF (BITX) will become effective on Friday with the approval of the U.S. Securities and Exchange Commission (SEC).
- According to a draft application file, the ETF will be compatible with the CME Bitcoin Futures Daily Roll Index.
- The rise of Bitcoin and cryptocurrencies gained momentum today, and the price of Bitcoin rose above $31,000 after a long time.
The U.S. Securities and Exchange Commission (SEC) approved a leveraged Bitcoin ETF application; BTC rally is gaining momentum!
SEC Approves Leveraged Bitcoin ETF
Volatility Shares’ 2x Bitcoin Strategy ETF (BITX) will become effective on Friday with the approval of the U.S. Securities and Exchange Commission (SEC).
Stuart Barton, Chief Investment Officer of Volatility Shares, said that the 2x ETF application was not rejected, opening the way for its launch on the market next Tuesday. Barton added the following;
“It is exciting to see digital assets in an ETF.”
A leveraged 2x ETF allows customers to be exposed to Bitcoin by depositing only half the value of Bitcoin as collateral.
According to a draft application file, the ETF will be compatible with the CME Bitcoin Futures Daily Roll Index. This is happening as Bitcoin’s value has steadily risen above $30,000 after many major traditional investment firms like BlackRock applied to the SEC for spot Bitcoin ETFs.
Rise in Bitcoin Price Gains Momentum
Bitcoin and cryptocurrencies, which entered a revival period with BlackRock’s spot Bitcoin ETF application, gained momentum today, and the price of Bitcoin rose above $31,000 after a long time. BTC touched $31,431 during the day. At the time of writing, it is trading around $30,890.
SEC has not yet approved a spot Bitcoin ETF, but the shift of institutions towards spot Bitcoin ETF applications has been positively received by investors, and the market’s greed sentiment has increased.
