The United States added one more spot Bitcoin ETF, bringing the total to eleven ETFs. This comes more than two months after the launch of the top ten spot BTC ETFs.
The latest addition to the list is asset manager Hashdex's Bitcoin Futures ETF, which has been trading on the New York Stock Exchange since 2022 as a futures-based fund under the ticker DEFI. The fund has now been renamed and converted to Hashdex Bitcoin ETF, which operates as a spot Bitcoin fund.
Hashdex announced in a press release that unlike other spot Bitcoin ETFs, DEFI can hold up to 5% of the fund's assets in BTC futures contracts traded on CME. According to the statement, this futures allocation will enable DEFI to more accurately track the BTC price over time and provide a more predictable fund creation/redemption process.
This approach is not new for ETFs. In fact, most S&P 500 ETFs use a similar strategy, according to the company. DEFI currently holds 5,500 BTC and a modest number of futures contracts. At 0.90%, the fund's expense ratio is lower than Grayscale Bitcoin Trust's (GBTC) 1.50%, but higher than the other nine spot products.
*This is not investment advice.