Leveraged Microstrategy ETFs break $400m as 'hot sauce arms race' heat up
The ETFs add leverage to Microstrategy’s already levered-up Bitcoin strategy. Investors can’t seem to get enough.
Leveraged Microstrategy (MSTR) exchange-traded funds (ETFs) broke $400 million in net assets this week as retail investors continue to pour into the ultra-volatile Bitcoin (BTC) plays, according to data from Bloomberg Intelligence.
Asset manager Defiance ETFs launched the first leveraged MSTR ETF in August. Competitors REX Shares and Tuttle Capital Management in September with an even more leveraged offering, setting off what Bloomberg ETF analyst Eric Balchunas has dubbed the “hot sauce arms race.”
Originally a business intelligence firm, MicroStrategy transformed into a de-facto cryptocurrency hedge fund in 2020 when founder Michael Saylor started using the company’s balance sheet to buy Bitcoin.
The ETFs add leverage to Microstrategy’s already levered-up Bitcoin strategy. Investors can’t seem to get enough.
Leveraged Microstrategy (MSTR) exchange-traded funds (ETFs) broke $400 million in net assets this week as retail investors continue to pour into the ultra-volatile Bitcoin (BTC) plays, according to data from Bloomberg Intelligence. Asset manager Defiance ETFs launched the first leveraged MSTR ETF in August. Competitors REX Shares and Tuttle Capital Management in September with an even more leveraged offering, setting off what Bloomberg ETF analyst Eric Balchunas has dubbed the “hot sauce arms race.”Originally a business intelligence firm, MicroStrategy transformed into a de-facto cryptocurrency hedge fund in 2020 when founder Michael Saylor started using the company’s balance sheet to buy Bitcoin.Read more