The New Wave of Crypto ETFs: Leveraged and Actively Managed Products Coming Soon

After the approval of the #ETFbitcoin and Ethereum spot ETFs, investment firms are preparing for a wave of new, more complex ETF applications. Recent applications show a trend towards leveraged and actively managed products, aimed at providing institutional investors with more options to access the crypto market.

Trend of ETF Diversification

ETF analyst #Bloomberg , Eric Balchunas, pointed out that companies like 21Shares are applying for actively managed ETFs as well as 2x leveraged products targeting Dogecoin and Sui. The issuance units for the XRP ETF have also updated their application after receiving feedback from the SEC, showing positive signals and necessary adjustments.

Experts believe that the approval of spot ETFs provides legal precedent, helping issuers feel more confident in pursuing complex products. Actively managed ETFs are suitable for professional managers, while leveraged products cater to clients looking for higher returns.

Time Frame and Risks

Although there have been some delays regarding the ETF decisions for Trump Media and Solana, experts predict that the approval wave will begin in October. However, they also warn that actively and leveraged products carry higher risks for investors, and users need to equip themselves with knowledge to understand the nature of their volatility. #anhbacong