Volatility Shares Files for 5x Leveraged Bitcoin, Ether, and XRP ETFs
Volatility Shares, a leading aggressive ETF issuer in the crypto space, has filed with the U.S. Securities and Exchange Commission (SEC) to launch 5x leveraged ETFs tracking Bitcoin (BTC), Ether (ETH), and XRP. If approved, these would rank among the most extreme crypto-linked investment products available to U.S. investors.
The ETFs are designed to amplify daily price movements by five times. For example, a 2% move in the underlying asset could result in a 10% swing in the ETF, meaning losses can compound quickly in volatile markets.
The filing also includes 5x ETFs for Solana (SOL) and several high-volatility equities, including Coinbase (COIN), MicroStrategy (MSTR), Tesla (TSLA), and Alphabet (GOOGL). In total, the proposal covers 27 products across 3x and 5x leverage tiers, with an effective date of December 29, 2025.
Daily rebalancing inherent in leveraged ETFs can lead to compounding effects and volatility decay. Even if Bitcoin finishes the week higher, a 5x ETF could underperform due to these mechanics. Thin or highly volatile markets like XRP can further amplify swings and unintended losses.
The filing comes as crypto markets recover from last week’s $19 billion in liquidations across crypto futures, the largest such event in industry history.
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