2x Long VIX Futures ETF

What they do

VS Trust operates two commodity pool ETFs: SVIX, which seeks daily inverse exposure to the Short VIX Futures Index, and UVIX, which seeks daily double exposure to the Long VIX Futures Index. The funds invest primarily in first- and second-month VIX futures contracts and are rebalanced daily to meet their leveraged or inverse objectives. The Trust is not registered under the Investment Company Act of 1940 and is operated by Volatility Shares LLC, a CFTC-registered commodity pool operator.

Revenue drivers

• SVIX — Inverse VIX futures ETF; generates revenue through management fees on assets under management. Net income figures are not broken out by fund, but the fund's performance inversely tracks the Short Index.
• UVIX — 2x long VIX futures ETF; generates revenue through management fees on assets under management. The fund's performance tracks twice the Long Index.
• Creation Unit activity — Authorized Participants create and redeem shares in blocks of at least 10,000 shares, which drives asset flows and associated fee income.

Recent performance

For fiscal year 2025, net income was a loss of $623.5 million, a significant deterioration from a $25.4 million loss in 2024 and a $60.7 million loss in 2022. Operating cash flow was negative $542.1 million in 2025, compared to negative $329.4 million in 2024. As of December 31, 2025, total assets were $551.0 million, total liabilities were $7.7 million, and shareholder equity was $543.3 million. Cash and equivalents stood at $124.8 million.

Strategy

The Trust's stated strategy is to provide daily leveraged or inverse exposure to VIX futures indices, with a focus on single-day investment results. The funds are designed for short-term trading and are not intended for buy-and-hold investors, especially in volatile markets. The Sponsor continues to operate the funds under CFTC regulations as a commodity pool operator. No explicit long-term strategic initiatives were disclosed in the provided filings.

Risks

• Daily rebalancing risk — The funds' daily rebalancing can lead to significant performance divergence from the VIX or its multiples over periods longer than one day, especially in volatile markets.
• Regulatory compliance burden — Operating as a commodity pool under CFTC rules imposes additional compliance costs and may affect financial performance.
• Leverage risk — UVIX's 2x leverage amplifies losses, which contributed to the substantial net loss in 2025.
• Lack of investment company protections — The Trust is not registered under the Investment Company Act of 1940, so investors may not benefit from the same protections as in registered funds.

Outlook

Management does not provide forward-looking guidance in the provided filings. The focus remains on maintaining daily rebalancing operations and compliance with CFTC regulations. The funds are expected to continue to offer leveraged and inverse daily exposure to VIX futures, subject to market conditions.