Digital Asset-Backed Exchange-Traded Note Launches Trading

Bitcoin-Related Convertible Bond ETF Comes to Market

March 14, 2025 - A new exchange-traded fund (ETF) that tracks the performance of bitcoin-related convertible bonds has launched on the market, providing investors with a unique way to gain exposure to the cryptocurrency's growth potential.

The ETF, listed on the New York Stock Exchange (NYSE), is designed to track the performance of a basket of convertible bonds issued by companies with significant ties to the bitcoin ecosystem. The fund's underlying assets include bonds issued by companies that have significant exposure to the cryptocurrency, such as mining and trading firms, as well as companies that are exploring the use of bitcoin in their business operations.

The ETF's launch comes as the cryptocurrency market continues to experience significant growth, with bitcoin's price surging to new highs in recent months. The convertible bond market has also seen increased activity, with many companies issuing bonds to raise capital and take advantage of the low interest rate environment.

"The launch of this ETF provides investors with a new way to gain exposure to the bitcoin market, while also offering the potential for capital appreciation and income generation through the convertible bond component," said Tom Bradley, CEO of the ETF's sponsor, a leading asset management firm. "We believe that this ETF will be attractive to investors who are looking for a unique way to gain exposure to the bitcoin market, while also providing a diversified portfolio that is not dependent on the price of bitcoin alone."

The ETF's underlying assets will be selected based on a range of criteria, including the company's revenue and profitability, its exposure to the bitcoin market, and its creditworthiness. The fund's portfolio will be rebalanced quarterly to ensure that it remains consistent with its underlying index.

The launch of the ETF marks a significant milestone in the development of the bitcoin market, as it provides investors with a new way to gain exposure to the cryptocurrency's growth potential. The ETF's sponsor plans to continue to monitor the market and make adjustments to the fund's portfolio as needed to ensure that it remains consistent with its underlying index.