Despite reports that ProShares is planning to launch three exchange-traded funds tracking the prices of XRP-based futures on April 30, the company confirmed to etf.com that’s not happening—yet.
On Monday, a ProShares spokesperson told etf.com the firm “does not have any ETF launches scheduled for Wednesday, April 30. We have no further news to share at this time.”
This follows an SEC filing from January 17, which included details about an Ultra XRP ETF seeking 2x leverage, a Short XRP ETF seeking -1x leverage and an UltraShort XRP ETF seeking -2x leverage, and an April 15 post-effective amendment.
However, Bloomberg ETF Analyst James Seyffart wrote in an X post on Monday, “We don’t have a confirmed launch date yet but we believe they will launch—and likely launch in the short or possibly medium term.
ProShares did not respond to etf.com’s request on Tuesday morning for further clarification on the timing of the launch.
The back-and-forth comes after the Teucrium 2x Long Daily XRP ETF (XXRP), another leveraged ETF tracking the price of the Ripple digital currency, launched on April 8, before approval for a spot XRP ETF.
Eric Balchunas, senior ETF analyst for Bloomberg, wrote in an X post just before XXRP’s launch that it was “very odd (maybe a first) that a new asset’s first ETF is leveraged.”
XXRP uses swaps, not CME futures, to obtain leverage, Bryan Armour, director of ETF and passive strategies research for North America at Morningstar, told etf.com.
“Daily leveraged ETFs are notoriously poor performing in the long run, on average,” Armour said. “Investors should be wary of the risks posed by these ETFs.”
