Direxion Files for Bitcoin and Ether Futures ETFs

Direxion Files for Bitcoin and Ether Futures Products with SEC

Direxion, a daily leveraged and inverse exchange-traded fund (ETF) issuer, has submitted a filing to the US Securities and Exchange Commission (SEC) for Bitcoin and Ether futures products. This move comes after other industry players, such as BlackRock and Valkyrie, have filed for futures ETFs in recent months. Direxion aims to achieve capital appreciation through crypto futures contracts traded on the Chicago Mercantile Exchange (CME).

Key points:

– Direxion joins other companies that have filed for futures ETFs, with BlackRock being a prominent player.
– The SEC has approved some non-spot Bitcoin ETFs in the past, but has not approved ETF applications for tracking Ethereum.
– Speculations about the rise in crypto-related ETF filings include BlackRock’s filing for a Bitcoin ETF, which may have encouraged other firms to follow suit.
– Forbes suggests that BlackRock’s success may be attributed to addressing previous concerns raised by the SEC and studying the SEC’s lawsuit against Binance and Coinbase Global.
– The SEC’s response to Direxion’s filing remains unknown, but the recent call for public input on Bitcoin ETFs and Grayscale’s call for simultaneous approval of all Bitcoin ETF applications indicate the pressure the SEC is facing.

Direxion’s investment strategy stated in the filing emphasizes that the company does not directly invest in Bitcoin or Ether. This move by Direxion could contribute to the improved narrative surrounding cryptocurrency ETFs, ultimately leading to broader acceptance and adoption.

Hot Take

The filing by Direxion for Bitcoin and Ether futures ETFs reflects the growing interest in cryptocurrency investment products. With major players like BlackRock already in the race, there is increasing pressure on the SEC to approve these ETF applications. If approved, these ETFs could open up new avenues for investors to gain exposure to Bitcoin and Ethereum, potentially driving further adoption and the maturation of the crypto market.