HANetf Launches Euro-Hedged Bitcoin ETC for European Investors

HANetf, Europe's largest independent white-label ETP provider, has launched the world's first euro-hedged bitcoin exchange-traded commodity. The product, called Arrow Bitcoin EUR Hedged ETC, is listed on Euronext Paris under the ticker EBTC and began trading on September 29. HANetf partnered with HSBC to supply currency hedging for the ETC.

The launch addresses a problem faced by European investors who hold bitcoin exposure in unhedged ETCs. These investors effectively hold two positions at once: one on bitcoin and one on the US dollar. When the dollar weakens, local-currency returns fall even if bitcoin rises in dollar terms. HANetf argues that this issue has an established fix in gold, where euro-hedged products account for roughly 13% of European gold ETC assets.

The Arrow Bitcoin EUR Hedged ETC uses physical replication and is domiciled in Jersey. Interactive Brokers LLC serves as custodian, and HANetf Multi-Asset ETC Issuer Plc is the issuer. The currency hedge neutralizes EUR/USD movements, isolating bitcoin's own price performance.