(Bloomberg) -- State Street Global Advisors and Galaxy Asset Management are launching a trio of cryptocurrency-focused exchange-traded funds even as investors pull back from spot Bitcoin funds.
The SPDR Galaxy Digital Asset Ecosystem ETF (ticker DECO), the SPDR Galaxy Hedged Digital Asset Ecosystem ETF (HECO) and the SPDR Galaxy Transformative Tech Accelerators ETF (TEKX) begin trading on Tuesday, according to a statement.
State Street and Galaxy’s partnership is offering its first funds into a steady stream of outflows from US-listed spot Bitcoin ETFs, which recently posted their longest streak of withdrawals on record as risk sentiment wavers amid mixed US economic data ahead of this month’s Federal Reserve meeting. However, instead of purely holding cryptocurrencies, the new funds will buy shares of crypto-linked companies in combination with other ETFs that hold physical Bitcoin or futures.
“Some investors are not comfortable with the short-term, volatile price swings of single-currency crypto,” Anna Paglia, chief business officer for State Street Global Advisors, said in the release. “We believe the next evolution of this market is the introduction of actively managed digital asset portfolios.”
All three funds are actively managed.
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