B3 Hosts DIGY11 ETF, Providing Access to Bitcoin-Treasury Funds
Brazil's B3 stock exchange now hosts DIGY11, an ETF from OranjeBTC that allows investors to access funds tied to Bitcoin-treasury companies without buying Bitcoin itself.
DIGY11 is not a spot Bitcoin ETF and does not aim to match the price of Bitcoin. Instead, it follows a Brazilian real-hedged MarketVector index of preferred shares issued by companies with substantial Bitcoin holdings.
The fund's disclosed portfolio as of September 11 was concentrated in Strategy, the largest US Bitcoin-treasury company represented, which accounted for 74.29% of assets. Strive's SATA preferred shares made up 4.88%, while 20.83% was cash in reais and margin allocated to the currency hedge.
DIGY11 aims to make monthly distributions in reais when applicable, and its currency hedge is designed to reduce changes in the dollar-real exchange rate. OranjeBTC presents a potential annual return of CDI (Brazil's interbank benchmark rate) plus 3% to 5%, but notes that this range is an illustrative estimate and excludes changes in DIGY11's unit value.