Joining the race after more than two months since the launch of ten spot Bitcoin exchange-traded funds (ETFs), Hashdex's Bitcoin Futures ETF has undergone a transformation, according to a press release.
Now trading under the ticker DEFI, the asset manager's offering has transitioned into the Hashdex Bitcoin ETF, operating as a spot Bitcoin fund.
In a notable deviation from other spot Bitcoin ETFs, Hashdex said that DEFI has the flexibility to allocate up to 5% of its assets in CME-traded Bitcoin futures contracts. This strategic move aims to enhance tracking of Bitcoin prices over time and streamline the creation/redemption process, mirroring strategies commonly employed by most S&P 500 ETFs.
DEFI currently holds 5,500 bitcoins alongside a modest number of futures contracts, with an expense ratio of 0.90%. While lower than the Grayscale Bitcoin Trust's (GBTC) 1.50%, it stands higher compared to its counterparts among the ten spot products.
The Hashdex conversion follows more than two months of trading activity since the inception of the original ten spot Bitcoin ETFs. Notably, excluding Grayscale's GBTC, BlackRock's IBIT and Fidelity's FBTC lead in asset gathering, each amassing over US$10 billion in assets under management.