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Bitcoin ETP With DeFi Yield Goes Live in Europe

Bitcoin ETP With DeFi Yield Goes Live in Europe

Yahoo19 hours ago
A bitcoin (BTC) exchange-traded product (ETP) that generates yield from decentralized finance (DeFi) markets has debuted on Tuesday, in what issuer Fineqia calls a first of its kind.
The Fineqia Bitcoin Yield ETP (YBTC), listed on the Vienna Stock Exchange, targets a 6% annual yield by deploying investor capital into DeFi strategies. It is issued by Fineqia's Liechtenstein-based subsidiary and advised by Psalion Yield, a digital asset investment firm focused on blockchain-based yield.
Unlike existing crypto yield ETPs that rely on derivatives or structured notes, YBTC maintains one-to-one exposure to bitcoin while generating returns directly from DeFi protocols.
'It allows investors to earn more BTC while they hold it, combining long-term conviction with compounding returns, all inside a regulated wrapper,' said Fineqia CEO, Bundeep Singh Rangar.
The ETP also supports in-kind transfers, meaning that digital asset holders can contribute BTC directly to the product without the need to first convert into cash incurring a taxable event.
YBTC arrives at a time when investor interest in crypto-focused investments is growing. These investment products has brought digital assets closer to traditional investors, allowing them to invest in digital assets in a familiar way through brokerage accounts without the need of crypto wallets and blockchain transactions.
Bitcoin exchange-traded products enjoyed rapid growth over the past year and have gobbled up $150 billion of assets, Fineqia said.
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