Asset management firm Valkyrie has filed an application with the US Securities and Exchange Commission to list an ETF that tracks the performance of Bitcoin mining firms listed on Nasdaq.
According to the documents submitted Wednesday, the Valkyrie Bitcoin Miners ETF will invest at least 80% of the fund’s portfolio into firms that generate more than 50% of their revenue from Bitcoin mining.
In addition, up to 20% of the assets will likely be invested in firms that “hold a significant portion of their net assets in bitcoin on their balance sheet.” The ETF will not invest in Bitcoin directly or through indirect investments such as derivatives, investment funds, or trusts.
Several companies have launched or are in the process of launching Bitcoin mining-related ETFs. The Invesco Alerian Galaxy Crypto Economy ETF, approved last October, invests in stocks of companies engaged in cryptocurrency, cryptocurrency mining, cryptocurrency buying, or enabling technologies.
Asset management firm VanEck also applied for a mining-related ETF in December last year. Valkyrie currently offers Bitcoin futures ETFs and the Valkyrie US Innovative Balance Sheet ETF, which tracks the performance of companies that own Bitcoin as a company’s assets, such as MicroStrategy and Tesla.
As SEC continues to reject spot Bitcoin ETF applications, several companies are listing ETFs that offer indirect exposure to Bitcoin and other crypto-assets.
