According to Eric Balchunas, the tally of new 3x leveraged ETF filings is approaching 250, and if these products are approved by the U.S. Securities and Exchange Commission, the total number of leveraged ETFs on the market would rise by about 35 percent, highlighting a potential expansion in short-term trading vehicles pending regulatory review (source: Eric Balchunas on X, Oct 7, 2025). Leveraged and inverse ETFs are designed to deliver a multiple of the daily return of a benchmark and are intended for short-term trading rather than long-term holding due to compounding effects (source: U.S. SEC Investor Bulletin on Leveraged and Inverse ETFs). For traders, the decisive factor is the SEC approval outcome, as leveraged ETF launches are contingent on SEC oversight that applies across product categories, including any crypto-linked ETFs under its purview (source: U.S. SEC Investor Bulletin on Leveraged and Inverse ETFs; U.S. SEC regulatory guidance).

According to the source, the U.S. SEC plans to formalize an innovation exemption for crypto companies by the end of 2025. Source: social media post dated Oct 7, 2025. No official SEC press release, open meeting notice, or rulemaking docket has been identified in the provided material, so the claim remains unconfirmed. Source: SEC.gov. Traders should monitor the SEC rulemaking page and the Federal Register for any proposal or final rule that would specify eligibility, compliance scope, and effective dates. Source: SEC.gov; FederalRegister.gov. The earliest actionable catalysts would be an SEC open meeting notice or a published proposed rule text, which are standard steps in federal rulemaking before any exemption could take effect. Source: SEC.gov; FederalRegister.gov.