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Bitwise and ProShares are pushing to launch the first-ever ETFs tied to Circle stock (CRCL), including a 2x leveraged fund and a covered call income strategy.
Asset managers Bitwise and ProShares have filed applications to launch single-stock exchange-traded funds (ETFs) tied to the performance of Circle’s publicly traded stock (CRCL). The filings represent the first ETF products of their kind to track a company deeply embedded in the digital asset ecosystem.
ETF Proposals: Leveraged Gains and Income Strategies
ProShares has proposed the Ultra CRCL ETF, a leveraged product designed to deliver 2x the daily returns of Circle’s share price. This type of ETF is designed for short-term trading and requires daily rebalancing, as holding periods that are too long can lead to performance that diverges from the intended target.
Meanwhile, Bitwise is rolling out a more income-focused strategy with its CRCL Income ETF, which will use a covered call approach. This fund seeks to generate returns by selling call options on CRCL while holding the underlying stock, which is ideal for investors prioritizing yield over aggressive growth.
Both filings await approval from the U.S. Securities and Exchange Commission (SEC) and are expected to go live on August 20, 2025, if greenlit.
Circle Stock Surges In Light of ETF Filings
Following news of the ETF filings, Circle’s stock surged by 17%, closing at $126.24. The stock had previously entered a period of consolidation after its initial public offering (IPO), but has now regained upward momentum, drawing renewed interest from both retail and institutional investors.
Much of this institutional enthusiasm is underscored by Ark Invest’s hefty $373 million allocation to Circle shares. The IPO marked a significant milestone for the fintech company, and the ETF filings are seen as a natural next step in boosting market participation and investor access.
Two new exchange-traded funds (ETFs) aim to bring stocks related to crypto into the main ETF market. These funds focus on traditional stocks, but Circle, known for its USDC stablecoin, highlights the growing connection between digital finance and traditional asset management.
