Two new crypto exchange traded funds (ETFS) Targeting of Solana
And XRP will be launched in the US on Tuesday and marks another step in the expanding intersection of traditional funding and digital assets.
Proshares, a big player in geared ETFs, rolled out Proshares Ultra Solana Etf (Slon) and Proshares Ultra XRP Etf (UXRP). Both products aim to deliver twice the daily benefit of their respective underlying cryptocurrencies, but do so by using regulated future contracts – not by keeping tokens himself, Proshares said in a press release.
The launches follow confirmation from NYSE ARCA, who certified “Approval for Listing” of both funds in coordination with the US Securities and Exchange Commission (SEK)According to two letters that were filed on Monday.
While these ETFs do not offer investors direct exposure to the price movements in Sun or XRP, their arrival on US exchanges reflects growing institutional comfort with crypto-supported products icing when tied to regulated derivative markets.
Futures-based ETFs have historically played a role in paving the way for spot-based versions. The presence of a regulated futures market can help regulators to measure liquidity, price mechanisms and investor protection, all key factors in evaluation of applications for spot -TFs.
Several asset leaders, including Vaneck and Bitwise, currently have active proposals with SEC for SPOT SOLANA and SPOT XRP ETFs. SEC has not yet approved any Spot-ETFs tied to neither active, but futures-based products like SLON and UXRP could affect that path.
The new funds are also talking about increasing demand from dealers and institutions looking for geared exposure to larger altcoins, even when the regulatory image of Spot Crypto products continues to develop.
