Hedgeye Files Bitcoin ETF With Options-Based Risk Management

The Hedgeye Hedged Bitcoin ETF (HBIT) will invest primarily in spot Bitcoin ETFs, including IBIT, while using options to reduce volatility and manage downside risk. The actively-managed strategy relies on Hedgeye’s proprietary Risk Range™ Signals to actively adjust call and put positions, seeking to preserve exposure to Bitcoin’s price movements while limiting drawdowns. The fund will not hold Bitcoin directly and may sacrifice some upside during strong rallies in exchange for risk management. It can also hold Treasuries, cash, and other instruments for collateral, liquidity, and portfolio management purposes.