Investors can now explore new crypto ETF options as ProShares launches three XRP-based funds, including Ultra XRP and Short XRP. Meanwhile, Amplify ETFs introduces two Bitcoin-focused ETFs, BITY and BAGY, designed to leverage Bitcoin’s income potential. The market is evolving with significant moves from key players like CME Group and Teucrium Investment Advisors, marking notable developments in crypto investments.
Investors eager to delve into cryptocurrencies via ETFs can expect a few new options in the coming days. ProShares is set to launch three new futures-based ETFs on Wednesday, which will track the price of Ripple’s XRP token though without physically holding the coins themselves. The company didn’t have any rejections from the SEC during its review, giving it the green light to move ahead under the implied approval framework.
The three new funds include the Ultra XRP ETF, Short XRP ETF, and Ultra Short XRP ETF. It’s worth noting that these aren’t the first leveraged funds focused on XRP; that honour goes to Teucrium Investment Advisors’ XRP ETF, which debuted earlier this month. Last week, the CME Group also revealed its plans to roll out XRP futures on May 19, pending a nod from regulators.
Sal Gilbertie, Teucrium’s CEO, commented on XRP’s integral role in facilitating global financial transactions via the XRP Ledger. He noted that Teucrium’s 2x Daily Long XRP ETF (XXRP) saw $35 million in assets under management within its first ten days of trading, signalling robust investor interest. “The upcoming listing of regulated XRP futures by CME reflects the market’s growth, and we’re keen on playing a role in that progress,” he said.
In a parallel move, Amplify ETFs is launching two new ETFs today designed for those who prefer Bitcoin investments. The Amplify Bitcoin 24% Premium Income ETF (BITY) and the Amplify Bitcoin Max Income Covered Call ETF (BAGY) are both actively managed. Their strategy revolves around gaining long Bitcoin exposure through exchange-traded products and synthetic options, complemented by writing weekly covered calls and rolling expiring contracts.
Christian Magoon, Amplify’s CEO, spoke on the nature of Bitcoin’s volatility, remarking it presents both challenges and opportunities for investors. He explained that BAGY and BITY embody the next phase of weekly Bitcoin option income strategies, aiming to create appealing income streams while maintaining growth potential tied to Bitcoin. The ETFs will be managed by Amplify Investments, with Kelly Intelligence and Penserra Capital Management acting as sub-advisers.
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