Fineqia Unveils Innovative Bitcoin Yield ETP Tapping Into DeFi Returns
A new Bitcoin exchange-traded product (ETP) that generates returns from decentralized finance (DeFi) markets launched on Tuesday, with issuer Fineqia calling it the first of its kind.
The Fineqia Bitcoin Yield ETP (YBTC), now trading on the Vienna Stock Exchange, is designed to deliver a 6% annual yield by allocating investor funds to DeFi protocols. The ETP is issued by Fineqia’s subsidiary based in Liechtenstein and managed in collaboration with Psalion Yield, an investment firm focused on blockchain-driven yield opportunities.
Unlike other crypto yield ETPs that often rely on derivatives or complex financial instruments, YBTC maintains direct one-to-one exposure to Bitcoin while earning additional returns directly from DeFi activities.
“This lets investors accumulate more Bitcoin while holding it, combining a long-term belief in BTC with the benefits of compounding yields, all wrapped in a regulated investment product,” explained Bundeep Singh Rangar, CEO of Fineqia.
One standout feature of YBTC is its support for in-kind transfers, allowing investors to contribute Bitcoin directly without converting it to cash first, potentially helping them avoid taxable events linked to asset sales.
The launch coincides with growing interest in crypto investment products, which have increasingly bridged the gap between traditional finance and digital assets. ETPs like YBTC give investors exposure to cryptocurrencies through standard brokerage accounts, without requiring specialized crypto wallets or blockchain interactions.
Fineqia reported that Bitcoin exchange-traded products have surged over the past year, amassing more than $150 billion in assets globally.