Rex Shares is also joining the Bitcoin craze, filing with the Securities and Exchange Commission for two new actively managed Bitcoin-related exchange traded funds to help investors gain long and short exposure to the cryptocurrency.
In a recent filing, Rex Shares is crafting the REX Bitcoin Strategy ETF and REX Short Bitcoin Strategy ETF. No tickers have been announced.
While the two actively managed ETFs are based on the Bitcoin asset, the two ETFs do not invest directly in Bitcoins. They only seek to provide exposure to price movements of Bitcoins.
The Bitcoin Strategy ETF will hold a portfolio of financial instruments that provide long exposure to movements in the value of bitcoin, along with a portfolio of fixed income instruments. The fund will obtain indirect exposure to Bitcoin price movements through the use of financial instruments that provide access to the price movements, such as futures contracts linked to the price of Bitcoin or an index.
Similarly, the Short Bitcoin Strategy will provide short exposure to the movements in the value of Bitcoins through financial instruments, including short positions in and short exposure to futures contracts linked to the price of bitcoin or an index.