Crypto ETFs: Tuttle Capital’s Hilarious Gamble with Meme Coins and More!

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Hold onto your wallets, folks! Tuttle Capital Management has just thrown a wild party by filing for not one, not two, but TEN leveraged crypto asset exchange-traded funds (ETFs)! 🎉 And guess what? This is the first time in the US that we’re talking about assets tracking Chainlink (LINK), Cardano (ADA), Polkadot (DOT), BenePit Protocol (BNP), and the pièce de résistance, Melania Meme (MELANIA)! Who knew investing could be this much fun? 😂

Analysts are scratching their heads, wondering if Tuttle is just poking the SEC with a stick to see how far they can go in the crypto ETF circus. 🎪

SEC Faces a Hilarious Test with First LINK, ADA, and Meme Coin ETF Filings

On Monday, Tuttle Capital Management officially filed for 10 leveraged ETFs. Bloomberg analyst James Seyffart took to X (formerly Twitter) to share this jaw-dropper. 📈

According to Seyffart, these filings are like a buffet of meme coin-focused products and assets that have never graced the US ETP offerings before. Talk about a crypto smorgasbord! 🍽️

“This is the first US ETP filing for anything tracking Chainlink, Cardano, Polkadot, BNP and … Melania…,” Seyffart quipped. Who knew Melania would make it to Wall Street? 😆

A leveraged ETF is basically a rollercoaster ride for your money, designed to give you amplified returns based on the daily performance of an underlying index, asset, or basket of assets. It’s like using financial derivatives and debt to deliver 2x, 3x, or even higher multiples of the daily return of the asset it tracks. Buckle up! 🎢

Notably, these filings come on the heels of some major shake-ups in the regulatory world. With Donald Trump back in the office for a second term and former SEC Chair Gary Gensler packing his bags, the volume of ETF filings has skyrocketed! 🚀

“To be very clear here. This is a case of issuers testing the limits of what this SEC is going to allow. I’m expecting the new crypto task force (led by @HesterPeirce) to likely be the lynchpin in determining what’s gonna be allowed vs what isn’t,” Seyffart explained. Sounds like a game of regulatory chicken! 🐔

Bloomberg’s senior ETF analyst, Eric Balchunas, chimed in, noting that the filing was made under the 40 Act. This means these ETFs could theoretically start trading as early as April unless the SEC decides to play the role of the party pooper. 🎈

“Will be interesting to see where the SEC draws the line (if at all) and why,” Balchunas commented. Spoiler alert: it’s probably going to be a very wiggly line! 🖊️

Balchunas also pointed out a quirky trend in the filings, like proposing a 2x MELANIA ETF before a standard 1x Melania ETF. Because why not go big or go home, right? 🏠

Moreover, this move follows Rex Shares’ recent application for several meme coin ETFs, including products tracking TRUMP, BONK, DOGE, Bitcoin, and Ethereum. It’s like a crypto family reunion! 🎉

“I will say it’s been a week since Doge/Trump filing and it hasn’t been withdrawn. That’s something,” Balchunas noted. A miracle in the world of finance! 🙌

While these filings show that institutions are feeling optimistic, whether they get the green light from the SEC is still up in the air. The SEC’s next move—approve or reject—will set the stage for future ETFs. Stay tuned, folks! 📺

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2025-01-28 09:36