11 hours ago
ProShares launched 2 exchange-traded funds (ETFs) that question to present 2x returns connected the regular terms question of Solana (SOL) and XRP, adding leveraged vulnerability to the firm’s expanding roster of crypto-linked products, according to a July 15 announcement.
The ProShares Ultra Solana ETF (SLON) targets 200% of Solana’s regular performance, portion the ProShares Ultra XRP ETF (UXRP) aims for the aforesaid leverage connected XRP.
Both funds way futures contracts alternatively than holding the underlying tokens, mirroring the operation ProShares uses for its Bitcoin and Ethereum offerings.
CEO Michael Sapir said the caller ETFs supply traders with a mode to “overcome the challenges of acquiring leveraged exposure” to 2 blockchains that investors often mention for high-throughput payments and decentralized applications.
He added that the broader adoption of Solana and XRP encouraged ProShares to widen its suite beyond Bitcoin (BTC) and Ethereum (ETH).
Broader leveraged crypto ETF line
Leveraged crypto ETFs require investors to negociate their positions actively due to the fact that the products reset vulnerability daily. Gains compound during beardown single‑direction moves, but losses magnify conscionable arsenic rapidly erstwhile prices reverse.
ProShares warned successful the prospectus that SLON and UXRP are suitable for experienced marketplace participants who recognize the mechanics of regular leverage and the imaginable for erosion successful volatile markets. The funds complaint absorption fees successful enactment with the firm’s erstwhile 2x funds.
ProShares broke crushed successful October 2021 with BITO, the archetypal US Bitcoin futures‑linked ETF, and followed with BITI, the archetypal inverse Bitcoin ETF. Last year, the steadfast listed EETH, the archetypal ETF tied to Ethereum futures, and SETH, an inverse Ethereum fund.
Including SLON and UXRP, ProShares present offers 12 crypto-linked ETFs and 3 crypto-linked communal funds, with implicit $1.5 cardinal dispersed crossed its leveraged lineup.
The institution reiterated that nary of its funds put straight successful integer assets. Instead, they clasp cash‑settled futures traded connected regulated exchanges.
Competitors person filed for products that way different integer plus pairs. However, regulatory clearance remains constricted to futures-based structures that debar nonstop custody issues.
ProShares said it volition proceed to measure request for further leveraged oregon inverse vulnerability arsenic marketplace infrastructure matures and regulatory guidance evolves.
The station ProShares debuts 2x leveraged regular vulnerability to Solana and XRP successful caller ETFs appeared archetypal connected CryptoSlate.
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