REX Shares Launches First-Ever Bitcoin Corporate Treasury Convertible Bond ETF

REX Shares has announced the launch of the first-ever Bitcoin Corporate Treasury Convertible Bond ETF (BMAX). The recently launched financial instrument aims to grant investors exposure to convertible bonds issued by companies like MicroStrategy (now Strategy), which adopts Bitcoin as a treasury asset.  In a press release today, REX Shares highlighted a strategy pioneered by Michael Saylor, the Executive Chairman at Strategy. The approach requires public companies to raise funds via the issuance of convertible bonds to purchase Bitcoin for their treasury.  Last year, Strategy highlighted this approach as part of its plan to raise $42 billion to purchase Bitcoin. With more public companies utilizing this approach, REX Shares rolled out the BMAX ETF to grant investors simplified access to these bonds.  BMAX Features  Greg King, founder and CEO at REX Shares, highlighted the uniqueness of the BMAX ETF in a statement. According to him, this is the first ETF that grants retail investors and financial advisors access to convertible bonds of companies leveraging Bitcoin as a treasury asset.  Prior to the launch of BMAX, King emphasized that investors had faced significant challenges accessing these bonds. However, with its inception, the ETF has eliminated the barrier, making investment in such bonds easier.  The press release mentioned that the BMAX ETF offers a unique blend of equity upside and debt stability. This indicates that BMAX investors will enjoy protection–akin to traditional debt–with the potential for price appreciation if BTC rallies. “Instead of navigating the complexities of Bitcoin ownership, BMAX offers a streamlined, regulated way to engage with this market, granting investors indirect exposure to BTC via a more conservative way,” the announcement read.  Public Companies Adopting Bitcoin as a Treasury Asset  Since Strategy adopted Bitcoin as a treasury reserve asset in 2020, several public companies have adopted the approach. Some of these include Marathon , Metaplanet, and Nuvve .  According to the announcement, the BMAX ETF will only expose investors to convertible bonds of public companies that adopt Bitcoin as a reserve asset.  REX Share is an established provider of ETFs and ETNs, boasting an AUM of over $6 billion. In addition to the BMAX ETF, the company seeks to launch other crypto-related exchange-traded funds in the United States.  In January, it submitted multiple applications to the SEC to launch seven ETFs tracking the performance of crypto assets like XRP, SOL, BTC, BONK, DOGE, ETH, and TRUMP.