VanEck Slashes Bitcoin ETF Fees Down to 0.20% in Competitive Market
VanEck has slashed its fees for the HODL exchange-traded fund (ETF), the VanEck Bitcoin Trust down to 0.20% from 0.25% according to a recent filing submitted to the Securities and Exchange Commission.
Nearly a dozen Bitcoin ETFs are competing for investor attention in a saturated market. BlackRock has set its fee for the iShares ETF at 0.12% for the first 12 months or until the first $5 billion in assets under management, after which it plans to increase it to 0.25%.
Other issuers, such as ARK Invest, charge 0.21%, and Bitwise charges 0.20%. Spot Bitcoin ETFs are increasingly the go-to choice for mainstream investors. They address issues like storing crypto assets and dealing with fraudulent service providers.
Aurelie Barthere, Principal Research Analyst at Nansen, said in a recent interview with Cryptonews.com that she expects lower-fee ETFs to attract more inflows in the short term.
The competitive landscape among Bitcoin spot ETF providers, according to Barthere, will be shaped by factors like reputation, size, existing footprint, and management fees.
“Reputation/size/existing footprint + management fee will probably lead to some leaders dominating the market,” she predicted.
Data published on February 13 revealed that BlackRock’s IBIT spot Bitcoin ETF had amassed over 100,000 bitcoins, positioning the firm as a clear leader in the closely contested sector. According to official data shared by the asset manager, BlackRock’s iShares Bitcoin Trust (IBIT) holds an astronomical 105,280.3 BTC in its portfolio.
The bitcoin haul is worth over $5.4 billion in market valuations. The IBIT spot Bitcoin ETF also includes a minor fiat component totaling $80,698.75. Zooming in on the number of shares, the ETF currently has over 167.24
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