Hashdex's DEFI Bitcoin ETF Enters Liquidation After Final Trading Session
Hashdex's Bitcoin ETF DEFI has stopped trading after its final session on August 17, marking the beginning of the liquidation process. The fund will be delisted from NYSE Arca and its remaining assets will be distributed to shareholders in cash.
The decision to close the fund comes after it struggled to attract a significant asset base, with around $14.7 million in assets under management as of July 30. Hashdex cited factors such as trading liquidity, operating costs, investor interest, and how each fund fits within its product lineup in making the decision.
The closure highlights the intense competition among Bitcoin investment products in the U.S., with larger funds dominating the market due to their scale and liquidity. The liquidation process is expected to be completed by August 28, with shareholders receiving a cash distribution based on the fund's net asset value after its remaining assets are sold.