Share this article

SEC Will Not Approve Leveraged Bitcoin ETF: Report

The report comes two days after Valkyrie Investments filed to offer 1.25x leveraged bitcoin futures ETF.

Updated May 11, 2023, 4:30 p.m. Published Oct 28, 2021, 8:49 a.m.

The U.S. Securities and Exchange Commission (SEC) will not approve the listing of leveraged bitcoin exchange-traded funds (ETF).

The SEC instructed at least one prospective ETF provider not to proceed with its plans for a leveraged funds, the Wall Street Journal reported on Thursday, citing a person familiar with the matter.
The U.S. markets regulator wishes to limit bitcoin-related investment vehicles to those that provide un-leveraged exposure - in others words not comprised of borrowed funds.
The report emerges two days after Valkyrie Investments filed to offer 1.25x leveraged bitcoin futures ETF.
After dozens of applications from different providers, the SEC finally approved the listing of a bitcoin futures ETF earlier this month. ProShares’ fund started trading under the ticker symbol BITO on the New York Stock Exchange on Oct. 19. It has contributed to bitcoin’s price surge, leading to the cryptocurrency reaching a new all-time high of over $66,000.

STORY CONTINUES BELOW

Don't miss another story.Subscribe to the State of Crypto Newsletter today. See all newsletters

By signing up, you will receive emails about CoinDesk products and you agree to our terms of use and privacy policy.

More For You

Protocol Research: GoPlus Security

Nov 14, 2025

Commissioned byGoPlus

What to know:

As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.

More For You

State of Crypto: Wrapping Up the Month

9 hours ago