SEC Halts Leveraged ETF Filings Amid Market Rally and DeepSnitch AI Funding Surge
The SEC has intervened in the cryptocurrency ETF space, issuing warnings to several issuers including Tidal, ProShares, and Direxion. The regulatory body cited violations of the Investment Company Act of 1940, specifically targeting leveraged ETFs offering over 200% exposure. Applications will remain paused until leverage levels are reduced to compliant thresholds.
Market sentiment remains bullish despite the regulatory action, with altcoins staging significant recoveries in December 2025. This resurgence has fueled investor interest in emerging projects with high-growth potential.
DeepSnitch AI has captured market attention with its $665,000 funding milestone and rapid development progress. The project's Stage 3 advancement has sparked speculative 100x return predictions among investors.
