Volatility Shares, an asset manager known for its pioneering approach to exchange-traded funds (ETFs), has filed for three new products focused on the cryptocurrency XRP. These include a spot XRP ETF, a 2x leveraged XRP ETF, and an inverse -1x XRP ETF.
The spot XRP ETF aims to directly track the price movements of the cryptocurrency, offering investors a straightforward exposure to XRP’s performance. In contrast, the 2x XRP ETF is designed to amplify daily price fluctuations by a factor of two, making it an enticing option for traders looking to capitalize on rapid market movements. Additionally, the -1x XRP ETF provides an opportunity for investors to bet against XRP’s price, reflecting the inverse of its daily performance.
This strategic filing aligns with the growing optimism surrounding the regulatory approval of a spot XRP ETF. Currently, traders on Polymarket are indicating a 77% likelihood that a spot XRP ETF will be approved this year. However, the chances of approval before July 31 appear considerably lower, standing at 35%.
Volatility Shares’ initiatives place it alongside other notable asset managers, such as Grayscale, WisdomTree, Bitwise, 21Shares, CoinShares, and Canary Capital, all of whom are vying to launch XRP ETFs in the U.S. market.
Recently, the U.S. Securities and Exchange Commission (SEC) began its countdown for a decision on an XRP ETF filing by acknowledging a 19b-4 filing from the New York Stock Exchange and Grayscale. In a noteworthy development, Brazil is set to debut the world’s first spot XRP ETF, which has already received approval from the country’s securities regulator.
