The exchange-traded fund (ETF) issuer Tuttle Capital Management has submitted six proposed leveraged and inverse Bitcoin ETFs to the United States Securities Commission, intending to give “magnified” returns from a spot Bitcoin ETF.
The purpose of these ETFs is to track the performance of the Bitcoin market. On January 3, Tuttle submitted three N1-A forms to the Securities and Exchange Commission. These forms are the filings that investment businesses use to establish new open-ended mutual funds.
An ETF analyst from Bloomberg Intelligence named Henry Jim shared the filings on X (which was formerly known as Twitter) on the same day.
He mentioned that the effective date was March 18, 2024. As of right now, we have filed for six leveraged Bitcoin exchange-traded funds. James Seyffart, a second Bloomberg ETF analyst, retweeted that “TuttleCapital waits for no one,” despite not being certified for a spot ETF product yet.
T-REX 1.5X, 1.75X, and 2X Long Spot Bitcoin Daily Target ETFs, as well as T-REX 1.5X, 1.75X, and 2X Inverse Spot Bitcoin Daily Target ETFs, are available for use as applications for Bitcoin exchange-traded funds (ETFs).
For the 1.5X product, the funds aim to achieve daily inverse leveraged or long leveraged investment outcomes of up to 150%, and for the 2X product, they aim for results of up to twenty percent.
In the beginning, Tuttle intends to use BlackRock’s potential iShares spot Bitcoin ETF as the underlying reference for swap agreements. However, the company has stated that it may alter the reference asset in the future.
According to the filings, “the funds are riskier than alternatives that do not use leverage because the funds magnify the performance of their underlying security.” This is because the funds multiply the performance of that security.
Tuttle has not disclosed a proposed ticker symbol or established a management fee. Tuttle currently lists seven exchange-traded funds (ETFs) and has total assets of $96 million, as reported by Stock Analysis.
Tuttle includes the T-REX 2X Long Tesla Daily Target ETF (TSLT) and the T-REX 2X Long NVIDIA Daily Target ETF (NVDX) on its list of offerings.
