EXCLUSIVE: Why Defiance Is Letting You Go 2X Long On Quantum, And 2X Short On AI, Straight From The CEO

Defiance ETFs has bolstered its portfolio of leveraged single-stock ETFs.

Two new products debuted last week: the Defiance Daily Target 2X Long RGTI ETF RGTX and the Defiance Daily Target 2X Short SMCI ETF SMCZ. They aim to provide traders with leveraged, tactical access to two of the market’s most story-oriented tech stocks.

RGTX provides 2x daily leveraged exposure to quantum computing player Rigetti Computing Inc. RGTI. This ETF is designed for investors looking for amplified upside potential in a hot and early-stage theme. Conversely, SMCZ provides 2x inverse exposure to Super Micro Computer Inc. SMCI, a soaring AI infrastructure stock, for those interested in tactically hedging or profiting from possible pullbacks.

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Speaking to Defiance ETFs CEO Sylvia Jablonski helped us understand the strategic timing and thematic underpinnings behind these launches.

"We're seeing significant investor interest in expressing tactical views on high-beta, thematically relevant stocks," Jablonski said.

Rigetti represents early-stage exposure to quantum computing, while Super Micro is one of the most talked-about AI infrastructure names. These ETFs give traders precision tools to either amplify bullish conviction or tactically hedge in a highly narrative-driven market."

Rigetti, while yet to enter the late innings of quantum growth, is one of a handful of pure-play public plays in the field.

RGTX, as named by Jablonski, enables investors to “express outsized conviction” in a ticker that may proportionally gain the most from the next round of speculative thematic rotation—especially with attention piquing on what may follow AI as the next big tech disruption.

Conversely, SMCI has skyrocketed in 2024 on the strength of AI-driven demand for high-performance computing. But its astronomical ascent has also generated doubts.

“We noticed a growing chorus of investors seeking to hedge or fade what they view as overextended price action,” Jablonski said. The SMCZ ETF is geared toward those anticipating mean reversion or earnings-driven volatility without the hassle of shorting.

Jablonski highlighted the fact that ETFs fit within the larger macro theme: “Both products capture distinct investor behaviors: chasing early-stage innovation (RGTX) and hedging against frothy AI sentiment (SMCZ).” In a market characterized by uncertainty around rates and high-volatility tech, leveraged ETFs provide weapons to trade rotating themes with accuracy and agility.

While acknowledging concerns about leveraged product suitability in an environment where rate cuts may be delayed further, Jablonski stressed that RGTX and SMCZ are geared toward sophisticated, short-term traders. “These names will likely continue to exhibit extreme sensitivity to macro signals. While delayed cuts may compress valuations, volatility creates both opportunity and risk. Leveraged ETFs like RGTX and SMCZ are tools designed for short-term traders navigating exactly this environment of heightened uncertainty and rotating narratives.”

During the first week of trading, Defiance has closely followed liquidity, volume, and correlation to volatility. Jablonski reported “strong trader interest and responsive price action,” indicating genuine hunger for strategic positioning in both quantum computing and AI infrastructure stories.

As AI starts to age and gain valuation worries, quantum computing may be next in vogue for speculative investor interest. “Quantum computing sits at that intersection of scientific ambition and speculative upside,” Jablonski stated. “While the technology is early, public names like Rigetti offer rare, liquid access to a transformational theme—and traders want optionality on that.”

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