NYSE Arca has approved two new leveraged cryptocurrency exchange-traded funds from ProShares: the Ultra XRP ETF (UXRP) and the Ultra Solana ETF (SLON). Both funds aim to provide 2x daily exposure to the price movements of their respective digital assets – XRP and Solana – using futures contracts. The ETFs are expected to begin trading by July 18, pending final preparations.
The approval was granted under the Securities Exchange Act of 1934. Neither fund holds the actual tokens; instead, they rely on derivatives to replicate short-term price changes. These ETFs are structured for traders who seek amplified daily performance and are not intended for long-term tracking.
UXRP and SLON: Leveraged Exposure Through Futures
The ProShares Ultra XRP ETF (UXRP) is tied to the Bloomberg XRP Index and is designed to return double the index’s daily performance, before fees. It uses a combination of futures contracts and swap agreements to meet that goal. Similarly, the Ultra Solana ETF (SLON) aims to deliver 2x daily returns based on Solana’s futures pricing.
These leveraged products reset daily, meaning their performance over time can diverge significantly from the underlying asset if held for more than one day. They are primarily geared toward experienced investors looking for short-term positioning rather than long-term holding.
Read also: Which Coins Are Next In Line For ETF Approval?
More XRP Funds in the Pipeline
In addition to UXRP, ProShares is awaiting regulatory approval for two more XRP-related ETFs: the Short XRP ETF (XRPS), targeting -1x daily returns, and the UltraShort XRP ETF (RIPS), which seeks -2x exposure. Both funds are structured to allow traders to benefit from short-term downward price movements in XRP, but neither has been given a launch date yet.
This batch of XRP funds adds to ProShares’ growing crypto ETF lineup, which already includes products tied to Bitcoin and Ethereum. The company now brings its leveraged trading model to Solana and XRP, both of which are among the most actively traded digital assets outside of Bitcoin.
Derivatives, Not Actual Tokens
The newly approved ETFs do not hold any actual XRP or Solana tokens. This sets them apart from spot-based ETFs, which are designed to mirror the performance of the underlying asset by holding it directly. Instead, these leveraged funds operate through derivatives, making them faster to bring to market and generally easier to approve under existing regulatory rules.
While futures-based ETFs like UXRP and SLON are now cleared, a number of spot ETFs for XRP remain under SEC review. Filings from asset managers such as Rex-Osprey and Turtle Capital are still pending, with decisions expected later in July.
Institutional Interest Builds
The approval of leveraged funds tied to both XRP and Solana confirms growing demand for regulated crypto investment tools. These ETFs give traders new options for gaining exposure to price swings without needing to manage wallets or token custody directly. While not suited for all investors, they may open the door for more active trading strategies within the traditional finance system.
