REX Launches 2x Leveraged ETF Tied to Bitcoin Treasury Firm Strive
Key Takeaways
- •The T-REX 2X Long ASST Daily Target ETF, a product from REX Shares and Tuttle Capital Management, began trading Friday on Cboe under the ticker ASSX, seeking twice the daily share-price performance of Strive before fees and expenses.
- •Because the fund resets its leverage at the end of each trading day, returns over periods longer than one day can differ significantly from 2x, making it designed for short-term trading horizons.
- •ASSX does not hold Bitcoin or track its price, instead providing leveraged exposure to shares of Strive, whose performance reflects both its asset-management operations and its Bitcoin holdings.
- •Strive currently holds 25,000 Bitcoin, ranking as the fifth-largest publicly traded corporate Bitcoin holder, and financed its latest purchase of 469 BTC through sales of its SATA perpetual preferred stock.
- •Strive shares rose 6.4% on Friday to at $30.09, surpassing the $29.40 average 12-month analyst price target as the leveraged fund debuted.
REX Shares and Tuttle Capital Management have launched a leveraged exchange-traded fund that seeks to deliver twice the daily performance of Strive (ASST), a publicly traded Bitcoin treasury company and asset manager, giving traders a leveraged way to gain exposure to the corporate Bitcoin holder.
The T-REX 2X Long ASST Daily Target ETF began trading Friday under the ticker ASSX on Cboe, according to an announcement from the firms. The new fund seeks to deliver 200% of Strive's daily share-price performance before fees and expenses, offering 2x daily exposure to Strive shares. For market participants, the listing packages geared exposure to a single corporate Bitcoin holder into an exchange-traded wrapper that trades through a standard brokerage account.
Because the fund resets its leverage at the end of each trading day, returns over periods longer than one trading day can differ significantly from twice the performance of Strive shares. That daily-reset design, standard across leveraged single-stock ETFs, makes the product suited to short-term trading horizons, since compounding can push multi-day returns above or below the 2x target depending on the path of Strive's share price.
Unlike spot Bitcoin ETFs, ASSX does not hold Bitcoin or seek to track the price of Bitcoin, instead providing leveraged exposure to shares of Strive itself. Its day-to-day performance therefore reflects how the market prices Strive's combined asset-management operations and Bitcoin holdings rather than the of Bitcoin alone.
According to REX and Tuttle, the firms also offer 2x ETFs linked to Strategy, BitMine, Cipher Mining, Circle and SharpLink. ASSX extends that roster of geared single-stock products tied to crypto-focused companies.
Strive currently holds 25,000 Bitcoin, making it the fifth-largest publicly traded corporate Bitcoin holder, according to BitcoinTreasuries.NET data. The company financed its latest purchase of 469 BTC through sales of SATA, its perpetual preferred stock. That treasury is the core asset behind the shares ASSX tracks, and additional purchases funded through SATA sales would add to it.
Strive shares rose 6.4% on Friday to close at $30.09, slightly above the $29.40 average 12-month price target among analysts tracked by S&P Global, according to Yahoo Finance data — meaning the leveraged fund debuted with its underlying stock already trading above the consensus analyst estimate of its 12-month value.
