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Nicholas Wealth Launches BHDG To Target Bitcoin Downside Protection

  • XFUNDS by Nicholas Wealth has launched the Nicholas Bitcoin Tail ETF (NYSE: BHDG) in partnership with Tidal Investments LLC.
  • BHDG is an actively managed, hedge-oriented ETF designed to protect against significant declines in Bitcoin without providing direct exposure to spot prices.
  • The fund primarily purchases exchange-listed put options on U.S.-listed Bitcoin ETFs or a Bitcoin index while selling call options or implementing call spreads to offset protection costs.
  • The strategy adjusts strike prices and positioning based on market conditions and volatility, with performance tied specifically to Bitcoin price movements during U.S. overnight hours.
  • BHDG joins an existing XFUNDS lineup that includes funds focused on fixed income, global equity, crypto income, gold, silver, nuclear energy, & defense sectors.
  • David Nicholas, CEO of XFUNDS, stated the fund provides investors flexibility to access Bitcoin while intentionally managing risk amidst high volatility.
  • The fund carries multiple risks including derivatives risk, counterparty risk, high portfolio turnover, non-diversification, hedging transaction risks, & overnight exposure risk.
  • Investors are advised to review the prospectus for detailed information on investment objectives, risks, charges, & expenses before investing.