SEC Opens Comment Period on Cboe 3x Bitcoin, Ethereum ETF Proposal

The U.S. Securities and Exchange Commission has opened a public comment period on Cboe’s proposal to list 3x leveraged Bitcoin and Ethereum ETFs, moving a closely watched leveraged crypto product one procedural step deeper into regulatory review.

What The SEC Comment Period Means For Cboe’s 3x Bitcoin And Ethereum ETF Proposal

The proposal originates with Cboe’s BZX Exchange, which filed a rule change with the SEC to list and trade the leveraged funds, per the exchange’s BZX rule filings docket. The corresponding SEC document sets out the terms now open for review. For related coverage, see Magic Eden Shifts From Bitcoin and Ethereum to iGaming as NFT Volume Falls.

A public comment period is a standard stage in the SEC’s review of a proposed rule change. During this window, market participants, investors, and other interested parties can submit written feedback that the agency weighs before it acts. It is not a decision, and its opening does not signal how the SEC will ultimately rule. For related coverage, see Bitcoin and the US Dollar: DXY, Liquidity and Fed Impact.

Cboe is seeking clearance for what would be the first U.S. 3x Bitcoin and Ether ETFs, The Block reported. The relevant filing details are laid out in the SEC’s published notice of the proposed rule change.

Why A 3x Bitcoin And Ethereum ETF Filing Draws Extra Attention

A “3x” fund is designed to deliver three times the daily return of its underlying asset, amplifying both gains and losses relative to holding spot Bitcoin or Ether directly. That structure is what sets this filing apart from a plain spot ETF.

The Leverage Is The Story

Leveraged crypto products tend to attract closer scrutiny precisely because that amplification cuts both ways. Cboe advanced the 3x proposal after 2x crypto funds suffered losses of up to 96%, according to CryptoSlate. Naming both Bitcoin and Ethereum in the same filing also broadens the market interest around the review.

For context on how regulators are handling adjacent crypto ETF questions, the SEC is separately reviewing an “85% proposal” tied to Bitcoin and XRP ETF listings, underscoring how active the current filing pipeline is.

What Crypto Investors And Market Watchers Should Monitor Next

Opening a comment period implies further review steps may follow. The typical sequence runs from public comments to continued SEC evaluation and, later, a formal decision or a further extension of the review timeline.

The Checkpoints To Watch

Readers should watch for official SEC updates on the docket and any response tied specifically to the Cboe filing. Demand-side signals matter too: spot Bitcoin ETFs recently saw outflows of roughly 77,000 BTC as retail investors exited, and Ethereum’s own ETF story continues to draw flows as ETH rallies. Those dynamics shape how a leveraged product might be received if it clears review.

For now, the filing sits with the SEC, and the comment window is the next concrete checkpoint on the calendar for anyone tracking leveraged crypto ETFs.

Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.