New XRP ETF Filing Set To Hit The Books With Another Major Twist

ETF issuer Volatility Shares recently filed with the US SEC to launch highly leveraged XRP ETFs , alongside other cryptocurrencies and stocks. Particularly, Volatility Shares has decided to file for a 5× leveraged XRP ETF, a move that caught many traders and analysts off ￰0￱ have intensified among investors following the filing, as it stands out as one of the boldest attempts yet in the crypto ETF world, especially since the SEC has yet to even approve any 3× leveraged crypto ￰1￱ Shares’ Expansive ETF Filing According to filings, Volatility Shares is planning to launch both 3x and 5x leveraged ETFs tracking the price of XRP alongside other major cryptocurrencies such as Solana, Bitcoin, and ￰2￱ ETF proposed by Volatility Shares will use futures, swaps and options to achieve a magnified daily performance ￰3￱ move signals that the issuer is prepared to push the limits of what the US Securities and Exchange Commission (SEC) might tolerate, creating a major twist in the increasing popularity of investment funds linked to digital ￰4￱ approved, the earliest activation date for these leveraged ETFs is December 29, ￰5￱ analysts were taken aback, with the filing seeing mixed reactions on social media ￰6￱ expert Henry Jim announced the scope of Volatility Shares’ filing on the social-media platform ￰7￱ his post, he exclaimed, “Sonic BOOOM! — 27 leveraged 3× and 5× single-stock ETFs filed by Volatility Shares!

His list of the Volatility Shares’ filing included tech heavyweights such as AMD, Amazon, Google, Nvidia, Palantir, and Tesla, alongside crypto-focused funds for Bitcoin, Ethereum, Solana, and XRP, and crypto-related stocks such as crypto exchange Coinbase and Bitcoin treasury firm ￰8￱ extensive slate indicates that Volatility Shares is attempting to corner both the equity and crypto leverage ￰9￱ ETF analyst Eric Balchunas also expressed astonishment regarding the ￰10￱ added that the firm could be making an option on a long-term government shutdown, since if there’s no SEC action in 75 days, they can ￰11￱ Of Highly Leveraged ETFs Volatility Shares’ proposal for a 5× leveraged ETF comes in the aftermath of the most severe crypto market liquidations, where over $19 billion was wiped out across crypto exchanges in a single ￰12￱ from derivatives platforms showed that the majority of those liquidations came from highly leveraged positions.

Therefore, these proposed ETFs are a double-edged sword in terms of contributions to the crypto ￰13￱ one, it could provide an avenue for more institutional funds into XRP and other ￰14￱ successful, these ETFs could also set a precedent for future high-risk crypto products in the US ￰15￱ the other hand, the risk is also ￰16￱ XRP falls by 2% in a day, the 5× leveraged fund will lose 10%, and that’s just in one day.