Gate ETF Comprehensive Analysis: How to Achieve Diversified Investment Layouts in the Encryption World

“Leveraged ETFs maintain a fixed leverage ratio through perpetual futures positions, allowing users to amplify asset rises and falls through spot trading without the need for borrowing or managing margin, thus avoiding the risk of getting liquidated.”

This type of unique product is redefining the trading methods of crypto investors. From tokenized Apple and Tesla stocks to smart beta funds that track the performance of emerging markets, Gate's ETF product line is becoming increasingly rich.

01 Product Evolution: From Traditional Funds to Crypto Innovations

ETF, as an exchange-traded open-end index fund, was originally centered around tracking market performance. Users only need to buy and sell like operating stocks to complete the allocation of a basket of assets.

This product has long been a relatively stable choice in the investment market because it can simultaneously provide risk diversification and trading convenience.

As traders' demand for strategy tools increases, traditional ETFs can no longer meet the more aggressive market pace, which has also led to the emergence of leveraged ETFs. This type of innovative product allows investors to amplify the volatility of the underlying assets without touching derivatives.

In the field of cryptocurrency, the application of ETFs is becoming increasingly widespread. Gate, as a leading crypto trading platform, has established an ETF ecosystem that includes a variety of strategies and asset classes.

From leveraged products to tokenized stocks, from dividend funds to exposure to emerging markets, Gate ETF is providing unprecedented investment opportunities for global investors.

02 Leverage ETF: Amplifying Returns Without Increasing Liquidation Risk

Gate's leveraged ETF tokens adopt a fund management model, supported by perpetual futures positions, responsible for maintaining a fixed leverage ratio (for example, 3x, 5x).

General investors do not need to enter the contract interface or borrow additionally; they can directly achieve the effect of leveraged operations by buying and selling corresponding tokens in the Spot market.

The most important thing is that since all positions are maintained by the system, the common risk of getting liquidated in traditional derivatives will not occur, resulting in lower operational pressure.

The mechanism of leveraged ETFs is carefully designed: each token corresponds to an independent futures position, ensuring that the leverage ratio is maintained within a specified range through precise adjustments.

The system will also automatically rebalance the position daily based on market changes, ensuring that leverage does not deviate excessively due to rise or fall, maintaining the consistency of product performance.

Although the operation method is simple, leveraged ETFs still belong to high-volatility products. Before participating, please note that both gains and losses are presented in multiples, and the impact of short-term fluctuations will be more significant than that of spot.

Frequent rebalancing in a volatile market may erode performance, so ideal returns may not be achieved in a consolidating market.

03 Tokenized Stocks and ETFs: On-chain Entry for Traditional Financial Assets

On September 3, 2025, Gate announced the launch of the Ondo section for the first time, opening up Spot trading. This section collaborates with Ondo Global Markets to bring traditional financial market stocks and ETFs into blockchain.

Users can participate in trading directly with USDT. The first batch includes 26 tokenized stocks and ETFs such as Apple (AAPLON), Tesla (TSLAON), Nvidia (NVDAON), QQQON, and SPYON.

Unlike traditional brokerage models, the Ondo section adopts a mechanism of tokenizing physical assets, where each token is fully backed by the corresponding underlying securities and held by a compliant custodian.

The main advantages include: token prices not only reflect stock prices but also include dividend reinvestment (after applicable taxes); support for fractional share trading, allowing users to participate in high-priced stock investments with a lower threshold; global users can directly participate in the market through blockchain, without geographical restrictions.

The core functions of the Ondo zone include 24/5 minting and redemption (in line with traditional market opening hours), 24/7 on-chain transfers (users can transfer tokens at any time for asset liquidity), and cross-chain compatibility.

These features ensure that users can enjoy economic exposure equivalent to traditional securities while also benefiting from the high efficiency and transparency brought by blockchain.

04 Income Products: A Dual Choice of Dividends and Index Funds

Gate's dividend stock ETF tracks an index that includes 100 stocks that have consistently paid dividends for at least the past ten years. It focuses on those companies that demonstrate strong financial performance, based on metrics such as the ratio of cash flow to total debt and return on equity.

The expense ratio of this ETF is extremely low, at just 0.06%, meaning that for every $10,000 invested, only $6 in costs is required.

Historically, this ETF has had an annual average return of 7.79% over the past 3 years, 11.92% over the past 5 years, and 12.09% over the past 10 years. The fund's recently achieved dividend yield is 3.7%.

In the cryptocurrency space, Gate's index fund aims to reflect the performance of leading cryptocurrency indices. The index is composed of carefully selected digital assets, designed to represent the broader cryptocurrency market.

Assets in the index are weighted by market capitalization, which means that larger cryptocurrencies have a more significant impact on overall performance.

The fund's management fee is only 0.03%, making it one of the most cost-effective options in the cryptocurrency fund market. As of the most recent trading day, the fund's net asset value was $593.08 per unit, while its market price was $592.70, demonstrating the fund's ability to closely reflect the underlying index value.

05 Emerging Markets and Crypto Derivatives: Capturing High-Growth Opportunities

Gate Diversified Emerging Markets ETF was launched in early 2015, aiming to provide comprehensive exposure to a wide range of emerging markets ETF space. This smart beta product offers investors a unique approach to investing in emerging markets, tracking the performance of a diversified factor index.

The underlying index aims to capture the performance of emerging market securities that exhibit diversified factor characteristics. These factors typically include value, price momentum, earnings quality, and other key indicators designed to identify potential outperforming stocks.

The fund's assets have exceeded 300 million dollars, making it a medium-sized player in the broad category of emerging market ETFs.

In the field of crypto derivatives, Gate's crypto derivatives ETF focuses on investing in products related to major cryptocurrencies that participate in the design, distribution, and implementation of blockchain technology.

This strategy allows investors to gain exposure to various crypto-related assets that can benefit from the ongoing digital asset boom.

The ETF includes 30 positions, covering futures contracts of cryptocurrencies such as Bitcoin, Ethereum, and Ripple. Bitcoin futures account for the largest proportion of the fund, at approximately 10%. Over the past five years, it has appreciated by more than 130%, outperforming the 82% growth of the S&P 500 index during the same period.

06 User Guide: How to Trade ETF Products on Gate

“Leveraged ETF” at the top of the page, and they can enter the ETF section.

In the ETF section, users can click on the relevant filter tags or enter the token name in the search box at the top right corner of the currency list. By clicking the “Trade” button, they can access the corresponding trading page.

In addition, on the web trading list, clicking the “Spot Trading Pair” or “ETF” button will display all relevant leveraged ETF trading pairs. Users can also directly enter the name of the cryptocurrency in the search box to find it.

The trading process is the same as the spot trading process: on the trading page, enter the unit price and quantity, and then click the “Buy” button to complete the order. If the order has not been filled, the user can check the relevant status in the “Current Orders” section of the trading panel.

After the order is completed, users can view the holding details of leveraged ETF tokens under the “Assets” category. For tokenized stocks and ETFs, users can trade in the Ondo zone, enjoying 24/7 trading hours that are not synchronized with traditional markets.

Future Outlook

The boundary between the crypto market and traditional finance is gradually blurring with Gate's ETF product line. Whether aggressive traders seeking 3x leveraged exposure or index investors favoring a 0.03% management fee, they can find suitable tools on this platform.

When investors purchase tokenized Apple stocks through Gate, they are buying not just the symbol AAPLON, but also entering a new investment dimension that is 24/7 trading, supports fractional trading, and has no border restrictions.