First Sui-based ETF approved in the US as 21Shares launches 2x fund

The fund is a leveraged product designed to deliver 200% of SUI’s daily price move. These ETFs target experienced traders because they rely on derivatives and carry elevated risk. In the US, it is uncommon for the first ETF tied to an asset to be a leveraged one.

Analyst Eric Balchunas expects fast market expansion, projecting as many as 80 additional crypto ETFs over the next 12 months.

21Shares CEO Russel Barlow said broad adoption of digital assets depends on offering investors simple, intuitive products. He added that TXXS is intended for users seeking amplified exposure and called Sui “one of the winners of the next phase of blockchain development.”

Sui is a proof-of-stake network built for fast, intermediary-free transactions. According to the release, Sui surpassed $10 billion in DEX volume over the past 30 days and has recorded more than $180 billion in monthly stablecoin transfer volume for four straight months. These metrics have strengthened institutional interest in the ecosystem.

21Shares filed for a spot Sui ETF in May while announcing a strategic partnership with Sui to develop joint products and research. The new leveraged fund is the next step in that collaboration.

Regulatory limits remain a key factor. The SEC recently blocked progress on potential 3x and 5x ETFs, saying interpretations that allow ultra-high leverage are “unacceptable.” Launching TXXS at the maximum permitted leverage level reflects the regulator’s current position.

The debut also coincides with FalconX’s acquisition of 21Shares. The company continues expanding its lineup of high-yield products, having introduced a leveraged Dogecoin ETF a month earlier.

The arrival of the first Sui ETF further anchors the asset in the institutional arena and paves the way for additional products — including a potential spot fund now awaiting regulatory review.