- Tidal Trust II has filed with the SEC to launch two leveraged ETFs that would provide daily returns of 150% to 200% on XRP and Solana.
- The funds will not hold the cryptocurrencies directly but will invest in derivatives, such as swaps and futures, tied to existing US-listed XRP and Solana ETFs.
- The proposal is another sign of growing institutional interest in altcoins, adding to a pipeline of products seeking to offer regulated access to high-cap cryptocurrencies despite SEC delays.
Tidal Trust II has filed with the US Securities and Exchange Commission (SEC) to launch two exchange-traded funds offering leveraged exposure to XRP and Solana.
The Aug. 19 Form N-1A submission details products that would provide daily returns of 150% to 200% of the underlying assets.
The proposed funds will not hold XRP or SOL directly. Instead, they will invest in derivatives such as swaps, options, and futures tied to US-listed XRP and Solana ETFs.
Tidal said the structure is designed to deliver both capital appreciation and income, using options strategies including credit call spreads to offset some of the risk inherent in leveraged exposure. The approach allows investors to access amplified returns without using margin trading.
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Investor appetite for structured XRP and Solana products is already visible. The Teucrium 2x Long Daily XRP ETF (XXRP) recently surpassed US$400M (AU$608M) in net assets, the first US-traded XRP product to cross that mark. The REX Shares Solana Staking ETF (SSK), launched less than two months ago, has already attracted more than US$160M (AU$243M) in inflows.
A Step in Broadening Crypto-Linked Investment Products
Tidal Trust’s proposal is another signal that a lot of capital is waiting to enter the altcoin market, also marking another step in broadening crypto-linked investment vehicles.
The funds add to a growing pipeline of products aimed at institutional and retail investors seeking regulated access to high-cap cryptocurrencies. Recall that the SEC recently pushed back rulings on at least nine ETF filings. Now all of those vehicles fall into the same October cluster.
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