Hi Margin, I read the prospectus and here's the important info:
"The Fund will not invest directly in Bitcoin. The Fund intends to utilize
as reference assets, the iShares Bitcoin Trust, the Grayscale Bitcoin Trust, the
Bitwise Bitcoin ETF, the Hashdex Bitcoin ETF, the Valkyrie Bitcoin Fund, the ARK
21Shares Bitcoin ETF, the Invesco Galaxy Bitcoin ETF, the VanEck Bitcoin Trust,
the WisdomTree Bitcoin Fund, the Fidelity Wise Origin Bitcoin Fund, the Franklin
Bitcoin ETF (together, the “Reference ETPs”), the CME CF Bitcoin Reference Rate
– New York Variant (the “BRRNY Index”), and other indexes that the Adviser
believes should produce daily returns consistent with those of Bitcoin (each
a “Reference Asset” and together the “Reference Assets”). Initially, the Fund
expects to invest in swaps primarily that provide exposure to the iShares Bitcoin
Trust."
BTCL is a derivative product of IBIT (for now, as they outline in the prospectus), which is a spot BTC product from iShares, using swaps. As far as I can tell, cash-settled futures are not being used, but if you have different information, I'd be happy to see it.
Caleb, unfortunately BTCL and BTCZ don’t invest in bitcoin directly either - they hold bitcoin futures …
Hi Margin, I read the prospectus and here's the important info:
"The Fund will not invest directly in Bitcoin. The Fund intends to utilize
as reference assets, the iShares Bitcoin Trust, the Grayscale Bitcoin Trust, the
Bitwise Bitcoin ETF, the Hashdex Bitcoin ETF, the Valkyrie Bitcoin Fund, the ARK
21Shares Bitcoin ETF, the Invesco Galaxy Bitcoin ETF, the VanEck Bitcoin Trust,
the WisdomTree Bitcoin Fund, the Fidelity Wise Origin Bitcoin Fund, the Franklin
Bitcoin ETF (together, the “Reference ETPs”), the CME CF Bitcoin Reference Rate
– New York Variant (the “BRRNY Index”), and other indexes that the Adviser
believes should produce daily returns consistent with those of Bitcoin (each
a “Reference Asset” and together the “Reference Assets”). Initially, the Fund
expects to invest in swaps primarily that provide exposure to the iShares Bitcoin
Trust."
BTCL is a derivative product of IBIT (for now, as they outline in the prospectus), which is a spot BTC product from iShares, using swaps. As far as I can tell, cash-settled futures are not being used, but if you have different information, I'd be happy to see it.
Thank you, Caleb, for the clarification. I appreciate it. I see now that it invests in products that invest directly in bitcoin.
Happy to help :)