First Bitcoin ETF in the US by Volatility Shares

     Volatility Shares' 2x Leveraged Bitcoin Strategy ETF (BITX) has been put into effect by the Gary-led SEC, which has taken a hard line on bitcoin-based ETFs. Volatility Shares will now become the first crypto ETF (exchange-traded fund) provider in the US.

Leverage Before Spot

     More recently, Blackrock was in the news in the crypto world, trying its best to bring the first Bitcoin Spot ETF, and the attitude of the SEC was also soft towards Blackrock. Various companies were following the path of Blackrock, but suddenly, from nowhere, Volatility Shares came and got the SEC convinced. BlackRock may still become the first Bitcoin Spot ETF, but not the first Bitcoin ETF; Volatility Shares has achieved that position, i.e., Leverage before Spot.

Is BITX Serious?

     BITX's 2x leverage allows investors to gain bitcoin exposure by only putting up half the value of bitcoin, hence its appeal. But there is also market risk in this, as investors will not HODL Bitcoin. According to Volatility Shares' prospectus filing, BITX will correspond to the CME Bitcoin Futures Daily Roll Index to monitor clients' investments.

How much influence does the ETF have on the ccrypto market?

     After the news of Volatility Shares was taken out, the entire Crypto market turned green, and the bulls shot the bears very high. Not only bitcoin, but altcoins, memecoins, and shitcoins also turned green. It is unclear whether the US market has an impact on the borderless crypto market or the potential for US investment to come. Some analysts also consider it a trick of the whales and a risk.

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