Trump's Crypto Influence: Leveraged ETFs Aim for 200% Returns

Investors are pinning their hopes on former U.S. President Donald Trump's potential influence on the cryptocurrency market, with some believing that his involvement could send crypto valuations soaring. Tuttle Capital Management, an investment firm, has proposed launching the first leveraged cryptocurrency exchange-traded funds (ETFs) to track the performance of various cryptocurrencies, including the Trump memecoins.

Tuttle Capital has submitted a proposal to the U.S. Securities and Exchange Commission (SEC) to develop 2x leveraged crypto ETFs, which would track the daily returns of several different cryptocurrencies through swaps, call options, and direct investments. The proposed ETFs would aim to generate 200% returns on cryptocurrencies such as Chainlink (LINK), Cardano (ADA), Polkadot (DOT), XRP (XRP), Solana (SOL), Litecoin (LTC), as well as Bonk and the Melania and Donald Trump coins.

While the potential gains from these leveraged crypto ETFs are attractive, investors should be aware of the risks involved. Using leverage amplifies returns but also magnifies losses. A significant drop in the underlying asset's value could result in investors losing their entire principal within a single trading day. Although 50% drops are rare with stocks, crypto altcoins and memecoins are known for sudden declines of 10% or more. A 10% drop in the underlying asset would mean the ETFs decline at least 20%, according to Tuttle Capital's SEC application.

If approved by the SEC, these proposed crypto ETFs could be available to investors by April of this year. In the meantime, investors are keeping a close eye on the performance of the cryptocurrencies targeted for these leveraged ETFs. Solana (SOL), one of the targeted cryptocurrencies, has gained 32% over the last three months, indicating potential for further growth.

Amid the buzz surrounding Trump Coins, another project, Lightchain AI, is quietly making waves in the cryptocurrency presale market. By combining advanced blockchain technology with artificial intelligence, Lightchain AI is capturing the attention of savvy investors focused on achieving substantial, enduring profits. Currently in its presale phase at a price of $0.005625