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Grayscale Launches Bitcoin Miners ETF, Offering Exposure to BTC Mining

The Global Head of ETFs at Grayscale said that Bitcoin miners are the network's backbone and are well-positioned for significant growth as BTC adoption and usage surge.

TAO

Grayscale Investments, one of the world’s leading digital asset managers, has launched its Bitcoin Miners ETF (MNRS). The announcement marks a significant milestone for the firm and the broader crypto investment sector.

According to an official announcement, the Grayscale Bitcoin Miners ETF is the latest addition to Grayscale’s lineup of exchange-traded products. The fund provides investors with access to Bitcoin mining companies and the broader BTC mining industry. 

Grayscale Tracks Mining Firm’s Performance

The report further noted that the Fund targets companies included in the Index Bitcoin Miners Index, a specialized benchmark created to track the performance of global BTC mining firms. These companies derive most of their revenue from BTC mining operations or related activities, such as mining hardware, software, services, and projects.

Commenting on the latest move, David LaValle, Global Head of ETFs at Grayscale, said:

“Grayscale Bitcoin Miners ETF offers investors targeted exposure to Bitcoin Miners and the global Bitcoin Mining industry in a passively managed, rules-based, and index-tracked fund designed to evolve with the industry.”

LaValle stated that Bitcoin miners are crucial to the network’s infrastructure and are poised for substantial growth as BTC adoption and usage expands. He noted that this expected growth makes MNRS an attractive investment opportunity for a wide array of investors.

According to the asset manager, MNSR will not invest in crypto assets directly or via derivatives. However, it may have indirect exposure to digital assets through its investments in firms that use one or more crypto-assets as part of their business activities or that hold digital assets as proprietary investments.  

Mining Stocks Battle With Bitcoin’s Gains

Grayscale’s launch of the Bitcoin Miners ETF coincides with crypto mining stocks continuing to slide in late January. This follows a sudden market downturn driven by the hype surrounding DeepSeek’s new AI model.

Despite Grayscale noting a link between bitcoin’s performance and the mining sector, mining stocks have failed to capitalize on BTC’s 113% gains in 2024. Data from the Hashrate Index and Google Finance shows that most publicly traded miners finished the year with losses, some seeing declines as steep as 84%.

Chris Lion