SEC opens door to 3x Bitcoin and Ethereum funds – Here’s the catch!
Key Summary
The US Securities and Exchange Commission (SEC) has approved a proposed rule change allowing 3x daily leveraged exchange-traded products tied to Bitcoin, Ethereum, and other commodities. The products, including 3x Bitcoin and Ethereum, will provide investors with a regulated vehicle for amplified daily exposure without directly borrowing money or using crypto derivatives accounts. However, the leverage resets daily, and returns over several days can differ significantly.
Proposed Rule Change
The SEC approved Cboe BZX's proposed rule change through the Rule 19b-4 process, clearing a listing hurdle for these products. They included 3x Bitcoin [BTC] (BITH), 3x Ethereum [ETH] (ETHK), 3x Gold (GDLU), and 3x Silver (SLVK). The lineup also included 3x Crude Oil (OILY) and 3x Natural Gas (NATX).
Regional Differences in ETF Flows
European gold ETFs across the UK, France, and Germany have attracted roughly 125 tonnes of cumulative inflows in 2026 through the 30th of September, compared with only around 15 tonnes for U.S. gold ETFs. The chart above shows European flows accelerating particularly from August onward. Meanwhile, U.S. flows, which had fallen deeply negative during the middle of the year, recovered toward positive territory by September. At the same time, the U.S. spot Bitcoin ETFs recorded $119 million in net inflows on the 6th of October.
Ethereum Staking ETFs and Regulatory Developments
The trend was notably different for spot Ethereum ETFs, which recorded $202 million in net outflows on the same day. According to the figures, the entire ETH ETF outflow came from BlackRock's ETHA. However, if we look at the monthly data of October so far, BTC ETFs have recorded a total of $165.59 million in outflows. And, similarly, ETH ETFs also recorded $506.15 million in outflows during the same period. But AMBCrypto's recent report on Ethereum staking ETFs turning protocol rewards into an additional source of income for investors raises hope.