The SEC Just Broke the 2x Ceiling on Leveraged Crypto ETFs — and the First 3x Products Are One Form Away From Trading

On October 2, 2026, the SEC approved a Cboe BZX Exchange rule change that broke through a ceiling that has held for the entire history of US-listed crypto exchange-traded products: the 2x leverage cap. Volatility Shares – the sponsor behind BITX, the first 2x Bitcoin ETF – now has approval to list the first 3x leveraged Bitcoin and Ether ETFs in the United States.

The approval covers six products under a single order (Release No. 34-106577, published in the Federal Register on October 7 as Document 2026-20507): the VS 3x Bitcoin ETF (BITH), the VS 3x Ether ETF (ETHK), and four commodity products – 3x gold, 3x silver, 3x crude oil, and 3x natural gas. All six are structured as commodity-based trust shares under the Securities Act of 1933, outside the Investment Company Act of 1940, and all operate through daily-reset leverage via futures contracts rather than direct holding of the underlying assets.

The SEC’s order approves the listing rule change – it permits Cboe BZX to list the products. It does not approve the products themselves to begin trading. That requires a separate Form S-1 registration statement to become effective, and Volatility Shares has not announced a launch date. The order also received zero public comments during its notice period.