Gate ETF Leveraged Tokens: Over the past 30 days, trading volume has exceeded $5 billion. How to grasp the trend market?

According to official data, Gate ETF leveraged tokens have surpassed $5 billion in trading volume over the past 30 days. Currently supporting up to 256 tokens, it is one of the mainstream trading platforms with the most leveraged tokens available in the market.

Leveraged tokens represented by ETH5S, ETH5L, and DOGE5L are particularly active, becoming key assets for users participating in trend trading.

01 Market Dynamics and Core Products

Gate ETF leveraged tokens have recently shown strong market performance. Trading data indicates that in the past 30 days, they have achieved approximately $5 billion in trading volume. The platform now supports 256 tokens, covering mainstream and popular cryptocurrencies.

Analysis of trading activity shows that multi-leverage tokens are especially active. Among them, ETH5S (Ethereum 5x short), ETH5L (Ethereum 5x long), and DOGE5L (Dogecoin 5x long) are popular assets that users focus on.

Gate ETF leveraged tokens are essentially a crypto product that “tokenizes” leveraged trading. They allow users to gain fixed-multiplier price fluctuation returns without opening contract accounts or managing margin, such as BTC3L representing 3x long Bitcoin, and BTC3S representing 3x short Bitcoin.

This design significantly lowers the barrier to entry for leveraged trading, enabling users unfamiliar with complex contract operations to participate in trend trading.

02 Innovative Mechanisms and Operating Principles

The core advantage of Gate ETF leveraged tokens lies in their unique automatic rebalancing mechanism. Unlike traditional leveraged trading, these products do not have a “liquidation line”.

Through scheduled daily rebalancing (at 0:00 UTC+8) and immediate rebalancing during sharp market fluctuations, the leverage multiple is automatically brought back to the target level.

This automatic rebalancing effectively maintains the actual leverage within a healthier, more stable range, providing users with a smoother, more controllable trading experience.

When the market experiences significant volatility, the system adjusts the underlying contract positions according to preset rules, bringing leverage levels back to the target range. This means users do not need to manually manage positions or worry about margin calls.

Management fee mechanisms are also an important part of Gate ETF leveraged token design. Unlike funding rates in contract trading, ETF leveraged tokens adopt a fixed management fee deducted daily from the net asset value to maintain the position structure.

This mechanism makes the product more suitable for short-term or medium-term trend trading, but in long-term sideways or choppy markets, it may cause the net value to gradually decline.

03 Popular Tokens and Applicable Scenarios

Below are some of the recently active popular Gate ETF leveraged tokens:

Gate ETF leveraged tokens are most suitable for use in markets with clear trending directions.

When the market trend is obvious, these products can fully leverage the “trend amplifier” effect, significantly magnifying gains from price movements. During sudden market moves or sentiment-driven phases, price volatility tends to be rapid, and using ETF leveraged tokens allows quick capture of volatility without contracts.

For short-term traders who prefer not to monitor the market constantly, since there is no need to add margin and no risk of forced liquidation, ETF leveraged tokens are a better choice for reducing psychological pressure. Users can operate them just like buying and selling regular spot tokens without dealing with complex contract interfaces.

04 Risk Awareness and Rational Use

Although Gate ETF leveraged tokens have the ability to amplify returns, it is important to recognize that they are not suitable as long-term investment tools.

The automatic rebalancing mechanism may cause “wear and tear” in sideways markets, and the daily management fee will continuously erode the net value. The leverage structure amplifies short-term volatility and also increases the cost of incorrect judgments.

Therefore, these products are better viewed as strategic tools rather than value investment assets. In highly volatile or oscillating markets, due to constant rebalancing, even if the price ultimately returns to the origin, the net value of the leveraged token may decline.

More rational approaches include: using them only when the trend is clear, setting clear take-profit and stop-loss targets, avoiding holding during sideways consolidation, and not allocating all positions to them.

Treat ETF leveraged tokens as “tactical weapons” rather than “long-term core holdings” to better control risks.

Compared to traditional contract trading, Gate ETF leveraged tokens lean towards “lightweight leverage tools.” Their advantages include intuitive operation, clearer risk structure, and no liquidation pressure; while contract trading offers higher capital efficiency and strategic flexibility but requires greater expertise.

05 Platform Development and Future Trends

Gate has achieved several key developments by 2025. The platform completed a brand upgrade within the group to Gate.com, obtained the MiCA license through its Malta entity, and received full operational licensing from Dubai VARA.

Security and transparency remain Gate’s core commitments. As of December 2025, Gate’s reserve proof covers assets exceeding $12 billion.

The platform combines Merkle tree verification and zero-knowledge proof technology, allowing users to verify that their assets are fully backed without exposing sensitive account information.

Looking ahead to 2026, Gate plans to further simplify user experience. CEO Dr. Han stated that the platform is exploring the use of artificial intelligence to lower the usage threshold, enabling users to express trading intentions more intuitively, with the system automatically finding the best execution strategies.

As global interest in crypto ETFs continues to grow, Gate ETF leveraged tokens, as “amplifiers” in trending markets, are expected to help traders improve capital efficiency within limited timeframes.

The Future of Tokenization and Value Discovery

While the market debates the balance between leverage and risk, a smarter, more user-friendly product form has quietly taken shape. Leveraged tokens are not just trading tools; they symbolize the evolution of crypto finance towards mainstream adoption and popularization.

The automatic rebalancing mechanism solves the most challenging issue in traditional leveraged trading—liquidation—while the management fee replaces the funding rate, simplifying cost structures. Its emergence shows that even the highest-risk financial instruments can become more friendly to ordinary investors through product innovation.

The rapid growth in trading volume proves the market’s demand for such products. Perhaps in the near future, leverage will no longer be exclusive to professional traders but will become a standard feature in many investors’ toolkits.