Leveraged ETF issuer Tradr debuted the Tradr 2X Long CORZ Daily ETF (NASDAQ:COZX) on November 5, offering traders double the daily exposure to Core Scientific Inc (NASDAQ:CORZ) just days after the crypto miner's $9 billion merger with CoreWeave fell apart.
The launch makes COZX the first leveraged ETF tied to Core Scientific's stock, a name now trading independently after shareholders voted down CoreWeave's all-stock acquisition proposal last week.
"CORZ is right in our wheelhouse for a single-stock ETF: strong fundamentals, high volatility, and plenty of news flow," said Matt Markiewicz, co-founder of Tradr, in an interview with Benzinga. "We'd actually gone effective on COZX back on September 5, but held off because there was too much uncertainty around the deal."
Tradr resumed launch plans only after proxy advisor ISS recommended that shareholders reject the CoreWeave merger on Oct 20 — a call that paved the way for Core Scientific to remain independent. "Of course, we wouldn't launch an ETF if we had conviction that it would have to be liquidated soon after due to a merger," Markiewicz said.
A 2X Bet On A Post-Merger Rebound
COZX seeks to deliver 200% of the daily return of Core Scientific's stock, achieved through total return swaps. The fund carries an expense ratio of 1.30%, with a lead market maker providing day-one liquidity.
"CORZ trades around $375 million daily, so there's ample liquidity at the close to facilitate our trading needs," Markiewicz said. Tradr, which already offers 2X leveraged ETFs on AI-linked names such as CWVX, CLSX, and IREX, will apply the same closing-price targeting strategy to manage leverage and rebalancing risk.
From Crypto Mining To AI Infrastructure
Despite its roots in bitcoin mining, Core Scientific is increasingly viewed as part of the AI-infrastructure boom, given its large-scale data center capacity and ties to AI compute clients. Markiewicz likened the company's shift to "watching where the puck is going, not where it's been."
"The puck is clearly moving toward AI-infrastructure," he said. "CORZ is diversifying its customer base beyond CoreWeave, and any new tenant announcements could be catalysts for the stock as it transitions from a pure mining play."
The failed merger hasn't dampened Tradr's conviction, in fact, quite the opposite. "Shareholders clearly felt the better value was to go it alone rather than be absorbed," Markiewicz said. "As a standalone entity, CORZ is well-positioned to rerate closer to its high-performance compute peers."
Traders' Tool With A Caveat
Markiewicz expects COZX to attract a mix of active traders and speculative long-term investors. "It's a high-conviction tool — an alternative to using options or trading on margin," he said. "But investors need to remember the objective is strictly to provide 200% exposure for a single trading day. Leveraged products can be extremely volatile if held longer."
While a 2X short CORZ ETF isn't on the immediate horizon, Markiewicz said, "nothing is off the table."
Favorable Climate For Single-Stock ETFs
The launch also underscores how the regulatory climate for single-stock leveraged ETFs has become more accommodating. "It's more favorable than in years past," Markiewicz said. "Understanding of crypto-linked equities has evolved massively — we've lived through a few volatile cycles, and the acceptance of crypto-linked narratives is growing by the day."
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