Valkyrie Funds is following up on its mid-December launch of an ETF following companies with bitcoin on their balance sheets with a new fund tracking companies in the bitcoin mining industry.
The Valkyrie Bitcoin Miners ETF (WGMI) debuted on the Nasdaq Tuesday with an expense ratio of 0.75%.
WGMI actively selects companies that derive the majority of their revenues from either directly mining bitcoin or that generate at least half of their revenues from producing specialized hardware for bitcoin miners.
Upon launch, the fund’s top holdings are crypto miners Bitfarms, Argo Blockchain, Hive Blockchain and Stronghold Digital Mining, along with crypto-focused microgrid producer CleanSpark. Those five stocks amount to just over 46% of the fund’s weighting.
WGMI is entering an already-crowded field of ETFs from larger issuers that cover the cryptocurrency economy more broadly, holding a mix of bitcoin miners and other companies involved in blockchain development.
The largest of those competitors are the $931 million Amplify Transformational Data Sharing ETF (BLOK), the $155 million First Trust Indxx Innovative Transaction & Process ETF (LEGR) and the $96 million Bitwise Crypto Industry Innovators ETF (BITQ).
The ticker WGMI is an homage to the crypto-community phrase “We’re All Going To Make It,” a rallying cry to keep invested in the volatile asset space. The firm had registered its Valkyrie Bitcoin Strategy ETF (BTF) under the ticker BTFD for a few days last October as speculation was mounting that the SEC would finally allow bitcoin futures-based ETFs onto the market. The acronym for “buy the dip” with an expletive was later changed to BTF before the fund debuted in late October.