Cboe has submitted a filing with the Securities and Exchange Commission seeking approval to list 3x leveraged bitcoin and ether exchange-traded funds, according to The Block. If approved, the products would mark the first time US investors could access triple-leveraged exposure to either cryptocurrency through a regulated exchange-traded structure.
Leveraged ETFs use derivatives and borrowed capital to amplify daily returns of an underlying asset. A 3x fund aims to deliver three times the daily percentage move of bitcoin or ether, in either direction. That means gains can be magnified sharply, but losses can accumulate just as fast, particularly during volatile trading sessions.
The filing follows a broader push by asset managers and exchanges to expand the range of crypto-linked investment products available to US traders. Spot bitcoin and ether ETFs launched in the US in 2024, opening the door to simpler exposure without direct custody of the underlying coins. Since then, issuers have layered on more specialized products, including funds offering 2x leveraged exposure to bitcoin and ether.
A 3x product would represent a step beyond those existing offerings. It would also test how far the SEC is willing to go in approving highly leveraged instruments tied to assets that are already known for sharp price swings. Bitcoin and ether have both experienced double-digit percentage moves within single trading days in the past, a pattern that leveraged fund structures can compound quickly.
The SEC’s review process for exchange-traded product filings typically involves public comment periods and can stretch over several months. Approval is not automatic, and the regulator has previously delayed or rejected certain crypto-linked fund applications before eventually clearing others. Cboe’s filing does not guarantee that the products will reach the market, or on what timeline.
Cboe operates one of the largest derivatives and equities exchange networks in the United States and has been an active venue for crypto-related listed products. Its involvement in this filing signals continued institutional interest in building out infrastructure around digital asset trading, even as the underlying assets remain subject to significant price volatility.
Leveraged products of this kind are generally marketed toward short-term traders rather than long-term holders. Because leveraged ETFs reset their exposure daily, their returns over longer holding periods can diverge substantially from three times the simple return of the underlying asset. This effect, sometimes called volatility decay, is a standard risk disclosure across existing leveraged fund products in other asset classes.
The filing adds to a growing list of crypto-adjacent products working through SEC review this year, as issuers continue testing the boundaries of what regulators will permit in the digital asset ETF space.
Sources disagree on this story
This article was published before the reports below were compared. The reporting above stands; what follows is where the published accounts do not agree.
CryptoBriefing and Coindoo give conflicting accounts of how far Cboe's 3x Bitcoin and Ether ETF proposal has already gotten through SEC review.
What all sources agree on
- Volatility Shares LLC is the sponsor behind the proposed triple-leveraged Bitcoin and Ether funds.
- The funds would use CME futures contracts rather than holding Bitcoin or Ether directly.
- The products would be structured as commodity pools overseen by the CFTC rather than registered as investment companies under the Investment Company Act of 1940.
- The proposal is part of a six-fund suite from Volatility Shares also covering gold, silver, crude oil and natural gas.
- If approved, these would be the first U.S.-listed 3x ETFs tied to Bitcoin and Ether.
- The funds have not launched and no confirmed launch date exists.
- Daily reset of the 3x target means returns over longer periods can diverge sharply from three times the underlying asset's move.
Where the reports disagree
1Whether these products need individual SEC approval or fall under a streamlined generic pathway
The filing also relies on amended generic listing standards that Cboe developed between 2025 and 2026. These standards essentially create a streamlined pathway for listing certain types of derivative-based ETFs without requiring individual SEC approval for each product, provided they meet pre-established criteria.
The proposed Bitcoin and Ethereum funds fall outside that framework because each would seek 3x the daily return of its futures benchmark. Cboe is therefore asking the SEC to approve an exception for these specific products through the 19b-4 process.
What would settle it: The text of Cboe's SR-CboeBZX-2026-065 rule filing and the SEC's published notice
2Whether exchange-level approval has already been granted
The exchange approval was granted on the same date as the filing, but that doesn't mean the fund is immediately available.
The SEC notice, published on August 14, follows Cboe's submission of the proposed rule change four days earlier. It opens a regulatory review rather than authorizing the funds to begin trading.
What would settle it: The SEC's Federal Register notice and Cboe's own confirmation of the filing's approval status
What to make of it
Treat the fund structure, sponsor and futures-based mechanics as settled; treat any claim about whether SEC approval has already been secured, versus still being sought through a distinct exception process, as unresolved until the SEC's own notice or Cboe's filing status is checked.
Market Impact
If approved, a 3x bitcoin or ether ETF would give traders a new regulated tool for expressing short-term, high-conviction views on crypto price direction, without needing to manage margin accounts or futures contracts directly. That could draw additional trading volume to listed crypto ETF products and further embed digital assets into mainstream brokerage platforms.
At the same time, the amplified risk profile of triple-leveraged funds means any approval is likely to come with detailed disclosure requirements. The SEC's eventual decision, whenever it arrives, will offer a signal about how far the agency is willing to extend leveraged exposure within regulated crypto products going forward.
Cboe's filing puts the question of triple-leveraged crypto ETFs squarely in front of regulators, with the outcome still pending and no confirmed timeline for a decision.
Frequently Asked Questions
What is a 3x leveraged ETF?
It is a fund designed to deliver three times the daily percentage return of an underlying asset, using derivatives and borrowed capital, with losses similarly magnified.
Has the SEC approved this type of crypto ETF before?
No. According to the report, this would be the first triple-leveraged bitcoin or ether ETF approved for the US market, following earlier approvals of spot and 2x leveraged crypto funds.
When could these ETFs start trading?
There is no confirmed timeline. SEC review of exchange-traded product filings can take several months and approval is not guaranteed.
Who would these products be suited for?
Leveraged ETFs are typically designed for short-term traders rather than long-term investors, given that daily resets can cause returns to diverge from a simple multiple of the underlying asset over time.