Hashdex’s Bold Move to Boost Crypto ETF Appeal

Hashdex, a prominent crypto-focused asset manager, announced on Wednesday a significant initiative to waive all fees for its Hashdex Nasdaq Crypto Index Europe (HASH) fund until it reaches $1 billion in net asset value. This bold strategy underscores Hashdex’s ambition to pioneer a unique joint Exchange Traded Fund (ETF) in the U.S., featuring both Bitcoin and Ethereum.

Currently, the HASH fund, an Exchange Traded Product (ETP), stands as the second-largest crypto index ETP in Europe, boasting over $100 million in assets. It is actively traded on multiple major European exchanges, including the SIX Swiss Exchange, Deutsche Börse Xetra, Euronext Paris, and Euronext Amsterdam.

Marcelo Sampaio, co-founder and CEO of Hashdex, expressed that this initiative aims to deepen participation in the crypto world by providing access to a diversified portfolio through a top-tier index. “We see a tremendous opportunity to invite more European investors into the crypto ecosystem with this fee waiver,” Sampaio stated, highlighting the move as an “extraordinary incentive” to engage investors more broadly within the digital asset space.

The Hashdex Nasdaq Crypto Index (NCI), crafted in partnership with Nasdaq, has rapidly become a benchmark in the global arena for crypto ETFs and ETPs. Hashdex’s prospective joint ETF, pending approval, will trace the NCI and integrate cash holdings with cryptocurrency assets, with Coinbase Custody and BitGo serving as designated custodians.

This market-capitalisation-weighted index predominantly allocates 70.54% to Bitcoin and 29.46% to Ethereum, reflecting the market dynamics of these leading cryptocurrencies.

Moreover, Hashdex’s proactive steps in launching a Bitcoin spot ETF in April and gaining approval for an Ethereum spot ETF further cement its role as a significant entity in what has been a landmark year for crypto funds in the U.S.

Hashdex’s decision to eliminate fees on the HASH fund until it amasses $1 billion in assets is a strategic move designed to attract a broader investor base and solidify its position within the burgeoning crypto fund market. This approach not only enhances the appeal of its products but also sets a progressive tone for the integration of traditional and digital asset investment.