VanEck announced that it will waive fees for investing in Spot Bitcoin ETFs until March 31, 2025, unless assets under management reach $1.5 billion by that date.
VanEck will temporarily lower management fees for its Spot Bitcoin Exchange Traded Fund (ETF) to zero until March 2025.
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Posted on March 12, 2024 at 2:06 AM ET.
Global asset manager VanEck is temporarily lowering the management fee for its Spot Bitcoin exchange-traded fund (ETF) to zero as competitors anticipate strong demand for the fund.
VanEcjk said in an announcement on Monday that from March 12th until March 31st, 2025, investors can invest in the VanEck Bitcoin Trust (HODL) without fees. If the fund’s assets under management (AUM) exceed $1.5 billion, VanEck will charge a sponsor fee of 0.20%, the fee it originally charged investors.
Important update!
because we believe #bitcoin Starting tomorrow, you can invest in VanEck Bitcoin Trust (HODL) commission-free until March 31, 2025. *
*For the period beginning March 12, 2024 and ending March 31, 2025, Sponsor will waive the entire amount.
— Vaneck (@vaneck_us) March 11, 2024
VanEck cited his belief in Bitcoin as the reason for the revised fee structure, but the move is likely aimed at gaining more market share and increasing assets under management. As of this writing, his AUM at HODL was just over $305 million, while his iShares at BlackRock’s Bitcoin Fund (IBIT) was just over $305 million. was. Beyond MicroStrategy has over $13.5 billion in Bitcoin holdings.
Other ETF issuers with similar fee structures, including Fidelity, Ark Invest, and Bitwise, have more than $1 billion in assets under management. Meanwhile, Grayscale Investments is the only ETF issuer that continues to see outflows, with fees significantly higher at 1.5% and assets under management now down to $28.5 billion.
The Spot Bitcoin ETF has seen record growth since its launch two months ago, with 10 newly launched funds (excluding GBTC, which converted from a closed-end fund to an ETF) now worth more than $55 billion. has assets under management.
Officially after the first two months (actually feels like six months), 10 Bitcoin ETFs now have over $55 billion in assets, with just double the amount of 1,100 billion dollars. If these are the numbers at the end of the year, I can say I succeeded. To do that in eight weeks is just ridiculous. pic.twitter.com/8YvzQZdYyJ
— Eric Balchunas (@EricBalchunas) March 11, 2024
Much of Bitcoin’s recent price movement has been due to the rapid growth of a new market for spot Bitcoin ETFs in the United States. Prior to this, Bitcoin’s past It rose to a record high of $72,850.
