2X SpaceX ETF / SPCU - Frequently Asked Questions

SPCU is the Defiance Daily Target 2X Long SpaceX ETF. It seeks daily investment results, before fees and expenses, of 2X (200%) the daily percentage change of SpaceX (Nasdaq: SPCX). It launched on Monday, June 15, 2026 and is issued by Defiance ETFs, LLC.

A 2X SpaceX ETF is an exchange-traded fund that uses derivatives (typically swaps) to deliver approximately twice the daily return of SpaceX stock (ticker SPCX). It is a single-day target - the 2X exposure resets every trading day.

SPCU uses swap agreements that reference the daily percentage change of SPCX, sized so the Fund targets 200% of that daily move. The exposure is reset every day. SPCU does not own SpaceX stock directly.

On any given trading day, if SPCX moves +1%, SPCU targets +2%, before fees and expenses. If SPCX moves −1%, SPCU targets −2%. The leverage factor applies only to a single day. Over multiple days, returns compound on a daily-reset basis and can deviate substantially from 2X the period return of SPCX.

SPCU is designed for knowledgeable investors who actively monitor and manage their portfolios. Over periods longer than one day, daily compounding (path dependency) can cause SPCU's return to differ materially from 2X the cumulative return of SPCX - including losses in flat markets and losses even when SPCX rises over the period.

Because SPCU targets 200% of SPCX's daily move, a single-day decline in SPCX is amplified roughly 2X in SPCU before fees and expenses. A large enough one-day drop in SPCX could cause an investor to lose the full principal value of their investment in a single day.

No. An investment in SPCU is not a direct investment in SpaceX. SPCU obtains its SPCX exposure synthetically through swap agreements with counterparties.

SPCX is the Nasdaq ticker for SpaceX common stock. SPCU is an ETF that seeks 200% of SPCX's daily percentage change using derivatives. SPCU is a leveraged, daily-reset fund; SPCX is the underlying stock.

The Fund's expense ratio is disclosed in its prospectus at defianceetfs.com/spcu/. Please consult the prospectus for current fees and expenses before investing.

SPCU trades on a U.S. exchange and is available through most major brokerages - including Fidelity, Charles Schwab, Robinhood, Webull, E*TRADE, and Interactive Brokers - by searching the ticker SPCU.

SPCU's first trade date is Monday, June 15, 2026 - the same day as the SpaceX (SPCX) IPO.

Yes. SPCU targets 200% (2X) of the daily percentage change of SPCX. It is a geared, daily-reset ETF and is not suitable for all investors.