Fun

T-Rex files for ‘ghost pepper’ 2X leveraged MicroStrategy ETF

News Feed - 2024-06-28 02:06:00

Tom Mitchelhill3 hours agoT-Rex files for ‘ghost pepper’ 2X leveraged MicroStrategy ETFFinancial services firm T-Rex Group has applied for what could be the “most volatile ETF” ever seen in the United States.465 Total views2 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksFinancial services firm T-Rex Group has filed for a leveraged MicroStrategy (MSTR) exchange-traded fund in the United States — with one analyst describing it as a “ghost pepper” of ETFs due to its potential volatility. 


Balchunas said if the fund were to be approved, it would expose investors to around 20 times the typical volatility of the S&P 500.


“These are a near-lock to be most volatile ETFs ever seen in the U.S. [...] The ghost pepper of ETF hot sauce,” senior Bloomberg ETF analyst Eric Balchunas wrote in a June 27 post on X.Source:Eric Balchunas


Balchunas pointed to the current volatility of a three-times-leveraged Microstrategy ETF on the European market, saying that it made the QQQ — an index of the top 100 publicly traded companies in the United States — look like a “money market fund.”Source:Eric Balchunas


MicroStrategy was founded as a software company in 1989 by now-executive chairman Michael Saylor. Since then, it has become one of the largest publicly traded holders of Bitcoin, currently holding a staggering 214,400 Bitcoin (BTC) — worth $13.2 billion — on its books.


Related:Why are traders shorting Michael Saylor’s MicroStrategy?


An outspoken Bitcoin bull, Saylor has given reasoning for holding such vast quantities of Bitcoin through the company — the asset is a hedge against inflation and a superior alternative to holding cash.


MicroStrategy shares are up 120% from the start of this year and 336% from this time last year, aided by a significant boon in the price of Bitcoin in the same time frame.MicroStrategy shares have posted gains of 120% so far this year. Source: TradingView


Bitcoin is currently changing hands for $61,589, up 104% in the last year, per TradingView data.


Saylor first adopted a primarily Bitcoin-focused acquisition strategy in 2020, using MicroStrategy equity to start buying up large chunks of Bitcoin.


In recent months, several other companies have begun taking notes from MicroStrategy’s playbook, adopting a Bitcoin-focused treasury-hedging strategy.


On April 9, Japanese investment firm Metaplanet announced the purchase of $6.5 million worth of Bitcoin as a core treasury asset, a move that saw its stock price soar more than 89% on the day.


On May 28, healthcare firm Semler Scientific purchased 581 BTC for a price of $40 million, also as part of its core treasury strategy.


Most recently on June 10, Canadian exchange-traded product (ETP) issuer and venture capital firm DeFi Technologies announced the acquisition of 110 Bitcoin as its company’s core reserve asset.


Magazine —Become a Bali crypto digital nomad like me: Here’s how# Bitcoin# Cryptocurrencies# Business# Bitcoin Price# Adoption# Stocks# Stock InvestmentAdd reaction

News Feed

Enforcement of South Korean virtual assets law prescribed in decree
Derek Andersen5 hours agoEnforcement of South Korean virtual assets law prescribed in decreeThe details of enforcing the Protection of Virtual Asset Users Act are not contained in the bill, which comes into force July 19
Dogecoin Liquidations Cross $24 Million As Bulls Suffer Double-Digit Beat Down
Este artículo también está disponible en español. Amid the wider market decline, meme coin Dogecoin has seen its price retrace by about 10% in the past 24 hours. At the s
North Korea Set Up a Blockchain Firm to Launder Crypto to Cash: UN
North Korea has been using a Hong Kong-based blockchain company to launder money, according to a quarterly report from the UN Security Council’s Sanctions Committee on North Korea.
Over $1B in US Treasurys have now been tokenized on-chain
Brayden Lindrea3 hours agoOver $1B in US Treasurys have now been tokenized on-chainThe new milestone was reached shortly after the launch of BlackRock"s first tokenized asset fund — BUIDL, which joined 16 other tokeniz
Full Ban on Crypto in Russia Would Be Counterproductive, Rosfinmonitoring Says
Full Ban on Crypto in Russia Would Be Counterproductive, Rosfinmonitoring Says Russian citizens and businesses already own cryptocurrencies, which is why a complete crypto ban woul
66% of Coinbase Users Willing to Leave the Exchange Due to Mounting Privacy Concerns
66% of Coinbase Users Willing to Leave the Exchange Due to Mounting Privacy ConcernsTwo-thirds of people who use Coinbase are willing to leave the platform following reports that th
Gareth Jenkinson14 hours agoBorneo authorities seize illegal crypto miners running off stolen powerA Malaysian energy supplier uncovered an illegal cryptocurrency mining operation stealing power from the local grid on th
Serkan Keskin14 hours agoBoosting adoption with DeFi asset management: Velvet Capital joins Cointelegraph AcceleratorThe decentralized asset management OS Velvet Capital that is driving DeFi adoption joins the Cointelegr
Brazilian Tax Authority Numbers Reveal Cryptocurrency Market Recovery in January
Brazilian Tax Authority Numbers Reveal Cryptocurrency Market Recovery in January Numbers from the Brazilian tax authority indicate that the cryptocurrency market experienced a resu
Jesse Coghlan5 hours agoBase’s largest DEX, LeetSwap, halts trading amid exploit concernsSome analysts have provided possible ways the exchange was exploited and pinned potential initial losses at over $600,000.2392 To
Bitcoin Whale Moves 8,000 BTC Aged 5-7 Years – What Happened Last Time
Este artículo también está disponible en español. Bitcoin continues to grapple with the psychological $100,000 milestone, failing to break above this critical resistance
Grayscale launches new decentralized AI fund
Ana Paula Pereira7 hours agoGrayscale launches new decentralized AI fundThe fund is available only for accredited investors. Its basket includes native tokens from Bittensor, Filecoin, Livepeer, Near and Render.3280 Tota