The Securities and Exchange Commission on Friday approved a Cboe BZX rule change that lets the exchange list six triple-leveraged exchange-traded products from Volatility Shares. The products are not trading. Release No. 34-106577 approves the listing rule. Cboe BZX filed on 10 August, and the SEC published the filing on 14 August. Each product targets three times the daily move of one underlying: bitcoin, ether, gold, silver, crude oil, or natural gas. Investing.com reported that the bitcoin and ether products would get that exposure through futures, not by holding the coins. Twice-leveraged crypto products already trade in the United States. This is the first clearance for triple leverage on bitcoin and ether. Registration still has to become effective before shares can be offered.
A daily reset is not a spot ETF
Chairman Paul Atkins also published a custody proposal on Thursday, a separate release of about 760 pages with a 60-day comment period. CoinDesk reported that it would let advisers use state-chartered trust companies as custodians and, only if no qualified custodian is available, hold client crypto themselves, with that exception reviewed every quarter. A listing rule for a 3x future is not a custody rule. Neither document restarts the CLARITY Act. The Senate rejected cloture 49-50 on 16 September. Bitcoin was at $84,860.50 on Sunday, and ether was near $2,695. A product that resets to three times the day's move loses ground when the underlying chops inside a range. The practical change on Monday is zero until the registration statements are effective. See where bitcoin traded on the news, ether's $118 million outflow week, and the September staff FAQ on network buybacks.