The leading cryptocurrency Bitcoin has recorded a significant rise after the spot Bitcoin ETF applications of the world's giant financial companies.
BTC continued its rise on Friday and broke above this year's high of $31,000.
While there was a rise on the Bitcoin front, good news came from the SEC on the ETF. The SEC today approved the first leveraged Bitcoin futures ETF.
Speaking to Coindesk, Stuart Barton, chief investment officer of Volatility Shares, said that the Volatility Shares 2x Bitcoin Strategy ETF, or BITX, will begin trading on Tuesday.
In the statement, it was stated that BITX will not invest directly in Bitcoin, but will instead “try to capitalize on the price increases of Bitcoin Futures Contracts”.
In this context, BITX will try to provide double the return of a Bitcoin futures index on a daily basis.
“Volatility Shares' 2x Bitcoin Strategy ETF (BITX) is the first leveraged crypto exchange-traded fund (ETF) to receive approval from the SEC.
BITX, an important milestone in the crypto space, will begin trading on Tuesday.
To date, the SEC has not rejected our ETF applications. This makes the company open to launching a Bitcoin ETF. It's exciting to see cryptocurrencies in ETFs at this point."
The SEC has previously approved a Bitcoin futures ETF, but has yet to approve a spot Bitcoin ETF. At this point, giant companies such as WisdomTree, Invesco and BlackRock applied for a spot Bitcoin ETF last week.