21Shares Slashes Fees to 0.99%: Did HODL Just Get Hotter?

Key Notes

• 21Shares reduced the fees for its HODL ETF below 1%.
• HODL will transition from a monthly to a quarterly rebalancing schedule.
• The ETP is said to be 100% physically backed.

21Shares AG, a leading crypto exchange-traded product provider, slashed its HODL ETP fees from 2.5% to 0.99%.

The change is effective immediately as of 07:00 UTC, according to a press release .

Lower fees mean investors can keep more of their gains. This will make crypto exposure via traditional brokerages cheaper for both retail and institutional investors in the European Union.

Moreover, 21Shares stated that HODL will transition from a monthly to a quarterly rebalancing schedule starting June 20. This will help the firm stay aligned with the preferences of its long-term investors while reflecting better market dynamics.

Mandy Chiu, head of financial product development at 21Shares, expects a notable increase in its ETP inflows, thanks to the latest fee reduction.

21Shares’ HODL allows investors to diversify their crypto exposure. The product tracks the prices of some of the leading cryptocurrencies, such as Bitcoin BTC $96 611 24h volatility: 2.1% Market cap: $1.92 T Vol. 24h: $29.09 B , Ethereum ETH $1 845 24h volatility: 2.6% Market cap: $222.72 B Vol. 24h: $14.22 B , XRP XRP $2.22 24h volatility: 0.8% Market cap: $129.99 B Vol. 24h: $2.17 B , Solana SOL $150.7 24h volatility: 2.6% Market cap: $78.04 B Vol. 24h: $3.80 B ,

and BNB BNB $600.1 24h volatility: 0.1% Market cap: $87.55 B Vol. 24h: $573.26 M .

The Switzerland-based company claims that HODL is 100% backed by digital assets held in cold storage by a regulated, institutional-grade custodian.

The fee reduction also shows growing maturity and competition in the crypto ETP market.

Last month, 21Shares launched a Dogecoin-based ETP on SIX Swiss Exchange.

21Shares also has a joint crypto investment product with ARK Invest, a US-based asset management company, called ARK 21Shares Bitcoin ETF (ARKB).

ARKB has brought over $2.7 billion in net inflows since its launch in January 2024.

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