Proshares submits three BTC hedged ETFs, Long the stock market gold and hedge the dollar risk with BTC

Asset management company ProShares has submitted three new ETFs to the US Securities and Exchange Commission (SEC), hoping to hedge the risk of the US dollar with BTC and invest in the S&P 500, Nasdaq 100 Index, and gold.

More fancy encrypted ETFs are emerging one after another

As President Trump’s second term is about to begin, executives and lawyers involved in ETFs say they are developing strategies to cater to all investors’ tastes. The described range of products is wide, from defensive ETFs targeting professional fund managers curious about cryptocurrencies to comprehensive speculative bets targeting ‘gamblers’. Bloomberg ETF analysts Eric Balchunas and James Seyffart also predict a wave of new cryptocurrency ETFs in 2025.

(Bloomberg: Multiple cryptocurrency ETFs will emerge by 2025)

The SEC has approved the Hashdex Nasdaq Crypto Index US ETF (Hashdex Nasdaq Crypto Index US ETF) and the Franklin Crypto Index ETF before Christmas, both of which will initially hold BTC and Ethereum and are expected to be listed in January.

Vivek Ramaswamy’s asset management company Strive Asset Management also submitted an application to the SEC for the Strive BTC Bond ETF, which will track convertible bonds issued for the purchase of Bitcoin, essentially a microstrategy convertible bond ETF.

Bitwise submits BTC Standard Corporations ETF (Bitwise Bitcoin Standard Corporations ETF), which invests more than 80% of its net assets in company stocks that adopt the ‘BTC standard’, i.e., companies that hold at least 1,000 BTC.

Proshares submits three BTC hedged ETFs

Proshares, an ETF issuer specializing in futures and leverage operations, has also submitted three ETFs related to BTC, namely:

S&P 500 BTC ETF

Nasdaq 100 BTC ETF

Gold BTC ETF

As the name suggests, these three ETFs are invested in the US S&P 500 Index, Nasdaq 100 Index, and gold.

So what’s the relationship with BTC? Since all three ETFs are denominated in USD, the fund will use BTC futures to hedge against USD short/BTC long positions and rebalance monthly, hoping to mitigate the impact of USD value changes relative to BTC.

ETF Store President Nate Geraci believes that this is essentially a long position in underlying stocks or gold, then using BTC futures to short the dollar and go long on BTC, which he calls BTC hedged ETFs.

This article Proshares submits three BTC hedging ETFs, goes long on the stock market and gold, and hedges the risk of the US dollar with BTC first appeared on Chain News ABMedia.