Key points

  • The SEC approved Cboe BZX's rule change for six proposed 3x daily commodity ETPs, including products linked to Bitcoin and Ether.
  • The crypto products would use futures rather than holding Bitcoin or Ether directly and would reset their leverage objective each day.
  • The approval does not mean trading has begun; a separate Securities Act registration statement must become effective first.

The U.S. Securities and Exchange Commission has approved a Cboe BZX rule change that would allow the exchange to list six proposed products targeting three times the daily performance of Bitcoin, Ether and four traditional commodities. The October 2 order covers the 3x Bitcoin ETF, 3x Ether ETF and products linked to gold, silver, crude oil and natural gas. The decision clears an exchange-listing requirement, but it does not mean the funds are trading.

The products are futures-based ETPs

All six products are series of VS Trust sponsored by Volatility Shares LLC. Despite the word ETF in their names, the SEC order classifies them as commodity-based exchange-traded products rather than investment companies regulated under the Investment Company Act of 1940. The Bitcoin and Ether products would seek three times the daily change in benchmarks built from first- and second-month futures contracts, primarily traded on CME. They would not hold Bitcoin or Ether directly.

Related reporting: Crypto ETP Inflows Hit $48.7B in 2025, Surpassing 2024 Record as Ether and Altcoins Surge

Three times applies to one day

The daily objective is central to understanding the structure. A product targeting three times a benchmark's move for one trading day is not designed to deliver three times that benchmark's return over a week, month or year. Daily resetting and compounding can cause the longer-term result to diverge substantially, especially when prices swing sharply in both directions. Futures also expire and must be rolled into later contracts, so the shape of the futures curve and transaction costs can affect performance.

Why a specific SEC order was required

Cboe's generic standard for commodity-based trust shares normally excludes leveraged products. The exchange therefore filed a specific proposal in August. The SEC found that the six products would meet the rule's other listing requirements and that the underlying futures markets satisfied eligibility and surveillance-sharing conditions. The order also points to existing sales-practice rules, including Regulation Best Interest for broker-dealer recommendations and heightened FINRA requirements for leveraged securities.

Surveillance and disclosure remain conditions

The exchange represented that pricing and portfolio information would be available to the market, including net asset value and intraday indicative data. The SEC said the products would remain subject to initial and continued listing standards, exchange surveillance, trading-halt procedures and market-maker requirements. A failure to meet continued listing conditions could trigger delisting procedures. Those safeguards do not remove the amplified market risk created by a three-times daily target.

Approval is not a launch date

Independent reporting by Crypto Briefing noted that trading cannot start until the separate registration statement under the Securities Act of 1933 becomes effective. The SEC's listing-rule order did not provide a launch timetable, tickers, fees or a first trading date. The funds' registration filing also said the new series had not begun operations as of its financial-statement date, leaving the effective registration as the next material milestone.

What the decision changes

The immediate change is regulatory: Cboe BZX has permission for the proposed listing structure, including triple-daily Bitcoin and Ether exposure through futures. The products would expand the range of leveraged crypto-linked securities available in the United States if the remaining registration step is completed. Investors and market participants still need final launch details before treating the products as available. Until then, the approval should be described as clearance for listing, not confirmation that trading is live.

Sources

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