Hassan Maishera
TL;DR
-
Invesco has lowered its Bitcoin ETF fee to 0.25%.
-
The reduction comes as the asset manager seeks to attract more investors.
Invesco Lowers Bitcoin ETF Fees
Invesco and Galaxy Asset Management announced on Monday that they have lowered the fee of their spot bitcoin exchange-traded fund (ETF) to 0.25% from 0.39%.
The reduction is in line with the fee currently charged by most fellow Bitcoin ETF issuers. Prior to this reduction, Invesco previously had one of the highest fees of 0.39% for its bitcoin ETF. At the moment, only Ark and 21Shares, Bitwise and Franklin Templeton offer lower fees than their peers.
The index provider also added that it would continue to waive fees for the first six months or until its Bitcoin ETF reaches $5 billion in assets.
“Invesco continues to waive BTCO's entire fee on assets up to $5 billion2 for BTCO's first six months of operations, effectively bringing the total expense ratio of BTCO to 0 basis points, with the discretion to extend the fee waiver further,” Invesco wrote.
Invesco’s Bitcoin ETF is currently underperforming compared to some of the ETFs issued by other traditional financial institutions. BlackRock and Fidelity have so far individually attracted roughly $2 billion in total volume in the first 11 days. Meanwhile, since its launch, Invesco’s Bitcoin ETF has only attracted $280 million in inflows.
