Direxion has agreed with regulators to withdraw its application for the Direxion Bitcoin Strategy Bear ETF, which would have been a -1x inverse fund that would have allowed market participants to bet against Bitcoin (BTC-USD) inside of an ETF wrapper. Direxion followed suit with Valkyrie, which also recently canceled its application to launch the Valkyrie XBTO Levered BTC Futures ETF (BTFX). That would have been a +1.25x leveraged Bitcoin-futures fund. Regulators appear to be taking their time to wait and see how the recent launch of the ProShares Bitcoin Strategy ETF (NYSEARCA:BITO) and Valkyrie Bitcoin Strategy ETF (NASDAQ:BTF) shake out before approving any levered crypto funds. One can presumably see levered, inverse and Bitcoin spot-price ETFs eventually hitting the market. But for now, it looks like regulators want markets to crawl before they walk. Regarding spot-price ETFs that will directly hold Bitcoin, experts believe we will have to wait until mid-2022 before regulators approve
