ProShares has blocked its 3x leveraged technology and crypto ETFs rollout after the U.S. Securities and Exchange Commission issued warning letters. The regulator told some of the country's top providers of leveraged exchange-traded funds, including Direxion, ProShares and Tidal, that it will not move forward with reviewing proposed launches until key issues are addressed. The regulator is concerned that the products designed to deliver two- or three-times-daily market returns may be taking on more risk than SEC rules allow. The letters direct the fund managers to either revise their investment strategies or formally withdraw their applications. In response, ProShares said in a filing on December 3 that it has elected not to proceed with the registration of the following funds - ProShares Daily Target 3x AMD, ProShares Daily Target 3x AMZN, ProShares Daily Target 3x COIN, ProShares Daily Target 3x CRCL, ProShares Daily Target 3x GOOGL, ProShares Daily Target 3x MSTR, ProShares Daily Target 3x NVDA, ProShares Daily Target 3x PLTR, ProShares Daily Target 3x TSLA, ProShares Daily Target 3x Bitcoin, ProShares Daily Target 3x Ether, ProShares Daily Target 3x Solana, and ProShares Daily Target 3x XRP.
