The SEC has taken an important step, but it’s still too early to buy.
On October 2, 2026, the SEC approved a rule change by Cboe BZX Exchange. It allows the listing and trading of six new 3x leveraged products from Volatility Shares (VS Trust series):
3x Bitcoin (proposed ticker: BITH)
3x Ether (proposed ticker: ETHK)
3x Gold
3x Silver
3x Oil
3x Natural Gas
What does “3x” mean?
Each product aims to deliver 3 times the asset’s daily move. If Bitcoin rises 2% in a day, the product aims to rise 6%. If it falls 2%, it aims to fall 6%.
How do they work under the hood?
They primarily use futures contracts. In the case of Bitcoin and Ether, these are CME futures, not the spot asset. They are also structured as commodity-based trust shares under the Securities Act of 1933, rather than the Investment Company Act of 1940, which made approval easier.
Can you trade them yet?
No. The approval is only for the listing rule. The SEC still needs to declare the trust’s registration (Form S-1) effective, and no launch date has been set.
The context
Volatility Shares already offers 2x Bitcoin (BITX) and Ether (ETHU) products. The 3x products are the next step up in leverage, after the SEC has already signaled caution about products above 2x and proposals for 5x products.
⚠️ The risk almost nobody explains: volatility decay
These products are rebalanced every day. With highly volatile assets like Bitcoin and Ether, this causes erosion over time. A simple example:
Day 1: asset rises 10% → 3x product rises 30%
Day 2: asset falls 10% → 3x product falls 30%
The asset ends down 1%. The 3x product ends down about 9%. With many consecutive price swings, the gap only widens. That’s why the long-term return can end up far from “three times the asset’s return.”
Conclusion
Leveraged products are short-term trading tools, not long-term investments. Approval shows the progress of the regulated crypto market in the U.S., but greater access also means more risk for anyone who doesn’t understand the product.
Before making any trade, read the prospectus, understand the leverage, and never invest money you can’t afford to lose.
This is not investment advice. Educational content. Do your own research (DYOR).
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