The waltz of bitcoin ETFs in the U.S. continues. While several management companies are waiting (probably in vain) for Bitcoin Spot ETF approval, there is Valkyrie, which has proposed a rather unusual product for approval. Its ticker symbol will be BTFD. It will be a leveraged bitcoin ETF, and in all likelihood will have a better chance of approval than funds with real bitcoins on hand.
Among other things, Valkyrie is fighting a stealth war for control of another major fund led by a big crypto-world ailing, which shows a pretty high level of activity at a time when institutional capital is not too close to the cryptocurrency world.
This new offering may find support from a very specific category of investors who are not afraid to be exposed to bitcoin and are even willing to multiply its risk and volatility.

Valkyrie launches new Bitcoin ETF product

Or rather, it is awaiting SEC approval for a bitcoin ETF, which, however, will have no real coins in its portfolio. It will be called the Valkyrie Bitcoin Futures Leveraged Strategy ETF and will have a very interesting ticker that will make some older members of our community smile.
BTFD stands for Buy the "ing deep," meaning buy the "ing dip," referring to times when bitcoin loses value quickly and - at least for hardcore buyers - offers further opportunities to buy at lower prices.

Base fund

This would be a fund that invests with leverage in Bitcoin based on futures traded on the Chicago Mercantile Exchange, the world's largest marketplace for derivative securities.
This is crucial in evaluating whether the ETF can be approved by the U.S. Securities and Exchange Commission. In fact, Gary Gensler's agency has so far always rejected spot ETFs on Bitcoin, believing that the market is still too prone to manipulation and lacks focus. However, it has never objected to ETFs such as ProShares, which hold futures.

Valkyrie has gotten into another game

In reality, however, Valkyrie is involved in a different kind of game. The fund has been targeting Grayscale's Bitcoin Trust for some time, asking clients to side with it for stock transfers.
It is the fund with the most bitcoins in its portfolio in the world - more than 630,000 - and at the same time it is owned by the Digital Currency group, which is in dire financial straits and for many is a big ailing bitcoin and cryptocurrency world in this cycle.
Meanwhile, Valkyrie, also based in the U.S., continues to offer new managed bitcoin and crypto products in a market that is still desperately trying to find its way, especially in terms of regulation.