ProShares Launches 3 XRP Futures ETFs (Ultra, Short, Ultra Short) Sending XRP Soaring 8%

The US Securities and Exchange Commission (SEC) approved three ProShares XRP ETFs (exchange-traded funds), sending XRP surging almost 8%.

The U.S. Securities and Exchange Commission (SEC) has approved three ProShares (NYSE:ESG) XRP ETFs (exchange-traded funds), sending the token up almost 8%.

ProShares (NYSE:ESG) plans to launch an Ultra XRP ETF (2x leverage), a Short XRP ETF, and an Ultra Short XRP ETF (-2x leverage) on April 30, according to filings on Thursday. The company’s spot XRP ETF application remains pending, with a key decision expected on May 22.

The SEC’s green light for the three XRP futures ETFs marks a key milestone in the cryptocurrency’s adoption by traditional financial markets.

“The SEC approved an XRP ETF,” said a post on X (formerly Twitter). “But it’s not what many people think. It’s not a Spot ETF. It’s a Futures ETF.”

The difference is that a Spot ETF buys and holds real XRP, creating demand for the token. A Futures ETF only bets on XRP’s price movements without touching any of the tokens.

This also means that the new products will not generate much buy-side pressure on XRP prices.

The approval of ProShares’ XRP ETFs follows the launch of Teucrium’s 2x XRP fund earlier in April.

This fund, also a futures ETF, became the first XRP ETF in the U.S., and posted more than $5 million in trading volumes on the first day. This strong start also made the product Teucrium’s most successful launch to date.

Earlier this week, the SEC also approved futures ETFs for Bitcoin (BTC) and Ethereum (ETH) from the likes of Invesco (NYSE:IVZ), Galaxy Digital (TSX:GALX), and Bittrex.

The agency has already acknowledged multiple applications for spot XRP ETFs, which could be approved by the next deadline on May 22 for fund manager Grayscale’s filing.