Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
Home»ADOPTION NEWS»What is a Leveraged Spot Bitcoin ​​ETF?
ADOPTION NEWS

What is a Leveraged Spot Bitcoin ​​ETF?

By Crypto FlexsApril 18, 20242 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
What is a Leveraged Spot Bitcoin ​​ETF?
Share
Facebook Twitter LinkedIn Pinterest Email

The leveraged spot Bitcoin exchange-traded fund (ETF) aims to multiply returns on Bitcoin’s daily performance.

How does it work?

Leveraged spot Bitcoin ​ETFs typically use financial derivatives, such as futures contracts, to multiply the daily returns of Bitcoin.

For example, a 2x leveraged ETF seeks to provide returns that are twice the daily return of Bitcoin. If the price of Bitcoin rises 1% on a given day, the ETF targets a 2% rise. If the price of Bitcoin falls 1%, the ETF falls 2%.

Leveraged vs. Unleveraged Spot Bitcoin ​​ETF

A leveraged spot Bitcoin ETF can amplify investors’ exposure to Bitcoin price fluctuations and multiply the asset’s performance returns.

However, standard spot Bitcoin ETFs track the Bitcoin price directly without the use of leverage to provide returns equal to asset price movements.

Leveraged ETFs may offer higher potential returns, but they also involve higher risk and the potential for larger losses, especially in volatile markets.

buy one

Investors can purchase leveraged spot Bitcoin ETFs through a brokerage account or investment platform.

They can search for ETFs using the ticker code on their preferred trading platform and place a buy order for the desired quantity of stocks. The process is similar to purchasing a traditional ETF, but investors should be aware of the risks associated with leveraged products and carefully consider their investment objectives before purchasing.

yes

Twice bitcoin BTC

+3.57%
Strategy ETF(BITX), issued by Valkyrie, is considered the first leveraged spot Bitcoin ​ETF to hit the market.

BITX “seeks to provide daily investment results, before fees and expenses, that typically are twice the performance of the S&P CME Bitcoin Futures Daily Roll Index during one day rather than any other period,” according to the fund’s website. The S&P CME Bitcoin Futures Daily Roll Index is a benchmark index that reflects the daily rolling of positions from one Bitcoin futures contract to another on the Chicago Mercantile Exchange.

The fund was created on June 27, 2023 and is listed on the Chicago Board Options Exchange (CBOE) stock exchange.


Disclaimer: This article was written with the help of OpenAI’s ChatGPT 3.5/4 and has been reviewed and edited by our editorial team.

© 2023 The Block. All rights reserved. This article is provided for informational purposes only. It is not provided or intended to be used as legal, tax, investment, financial or other advice.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Ether Lee (ETH) tests major support for $ 4,453 after the highest rejection.

August 31, 2025

Bitcoin analysts bet on $ 200K after hints of Fed.

August 23, 2025

‘Self -transactions, dressed in capital layout’: The cryptocurrency financial craze divides the industry.

August 15, 2025
Add A Comment

Comments are closed.

Recent Posts

The cryptocurrency is falling when the tokens and stocks connected to Trump are under pressure.

September 5, 2025

Cango Inc. Reports Second Quarter 2025 Unaudited Financial Results

September 5, 2025

Coindesk July 2025 Report: Stablecoins and CBDC

September 5, 2025

NOWPayments To Participate In SiGMA Europe Rome 2025

September 4, 2025

Web3 Enabler Announces Blockchain Payments V3.1 At Northeast Dreamin In Boston

September 4, 2025

Is XRP The Dark Horse Of The Cryptocurrency World? Earn 652 XRP Daily Using Invro Mining’s Smart Contract

September 4, 2025

TRX Was Early, ETH Set The Standard, BNB Built The Scale- Now SYC Brings The Next Evolution

September 4, 2025

Sign Up And Receive $500 Bonus, Ushering In A New Era Of Compliant And Secure Crypto Investment

September 4, 2025

Why experts say that 99%of the traders are wrong

September 4, 2025

ChainUp Named Double Finalist At Thomson Reuters’ ALB Pan-Asian Regulatory Awards 2025

September 4, 2025

Integrated security classes can accelerate the adoption of institutional passwords.

September 4, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

The cryptocurrency is falling when the tokens and stocks connected to Trump are under pressure.

September 5, 2025

Cango Inc. Reports Second Quarter 2025 Unaudited Financial Results

September 5, 2025

Coindesk July 2025 Report: Stablecoins and CBDC

September 5, 2025
Most Popular

Announcement of 2024 Academic Grant Round Recipients

January 18, 2025

London Stock Exchange Accepts Applications for Bitcoin Exchange Trading Notes

March 12, 2024

50L ETH supply surges in just one month due to Ethereum’s low gas fees

May 25, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.