The first bitcoin ETF launched on the Brazilian market has already raised 615.3 million Brazilian reais, or about $112 million.
This was announced by the issuing company itself, Hashdex, with a tweet on its official profile in which it also reveals that it is now the fifth-largest Brazilian ETF by a number of shareholders.
O HASH11 levantou R$615,3 milhões de reais em sua emissão primária e foi tema do @valorinveste . O primeiro ETF de cripto do mundo é, também, o quinto maior ETF brasileiro em número de cotistas.https://t.co/MgMr2tRBpf
— Hashdex (@hashdex) April 23, 2021
The fund is called Hashdex Nasdaq Crypto Index ETF (HASH11) and replicates the performance of the Nasdaq Crypto Index.
Its portfolio actually consists of 72.7% bitcoin, 22.9% Ethereum, and the remaining 4.4% a mix of Litecoin, ChainLink, Bitcoin Cash and Stellar.
The market launch was in mid-February, but it has already become the fifth-largest fund on the Brazilian stock exchange, with over 80% of requests made by individuals. Trading on the Brazilian stock exchange begins today.
Volumes of the Brazilian Bitcoin ETF
In a letter sent to clients on Friday, Hashdex reported that primary issuances of the fund’s units raised 615,250,700 reais, with 28,358 requests received prior to the exchange’s debut. A total of 12,305,014 shares were issued, with a value of 47.02 reais per share, and an entry fee of 2.98 reais per share, for a total cost of 50 reais.
The administration fee is 0.3% per annum.
Banco Genial is one of the main coordinators and administrators, along with BTG Pactual and Itaú BBA.
The volume raised was almost three times the minimum desired value of 250 million reais, which demonstrates the high interest of Brazilian investors in this type of financial product.
The only Brazilian ETFs that outperform HASH11 in terms of a number of investors are IVVB11, which follows the S&P 500, BOVA11, which is linked to the Ibovespa, SMAL11, which follows the Small Index Cap, and XINA11, which follows the MSCI China index.
The aim is to provide small investors interested in cryptocurrencies with an easy investment alternative, accessible on any home broker. In fact, for the moment, small investors in Brazil only have access to financial products based on cryptocurrencies through investment funds, which apply higher rates than ETFs and have low percentages of exposure to cryptocurrencies (20%).