Brazil’s new ETF, BITH11, promises Carbon Neutrality

Hashdex Asset Management, a crypto-focused alternative investing business, launces BITH11, a new exchange-traded fund (ETF) in Brazil. The ETF promises to be the country’s first “green” Bitcoin ETF.

The Exchange Traded Fund

The fund intends to purchase carbon credits to offset its associated carbon emissions. Hashdex has collaborated with Germany’s Crypto Carbon Ratings Institute (CCRI) to achieve the ETF’s goals. The institute will provide annual reports calculating the energy consumption and carbon emissions associated with BTC production purchased by the fund.

The ETF aims to invest 0.15% of its liquid assets in carbon credits and environmentally beneficial technology every year. Late last week, the B3 Brazilian Stock Exchange lists the fund with the ticker BITH11.

Hashdex

Hashdex is a licenced cryptocurrency investment fund issuer that debuted its first crypto-focused exchange-traded fund, HASH11, in April. According to Bloomberg, HASH11 has gained 33% in the last month.

Hashdex also provides a weighted Nasdaq Crypto Index (NCI) fund that tracks BTC, as well as its Bitcoin Risk Parity Gold Fund, in addition to HASH11 and BITH11.

Other following the suite

Green crypto funds have increased in popularity this year. This is due to the worries over crypto mining companies’ use of fossil fuel-based energy gaining mainstream attention.

Ninepoint, a Canadian Bitcoin ETF issuer, announced in May that it would work with carbon offsetting service provider CarbonX to offset the carbon footprint of its BTC fund.

One River Digital, a crypto-focused hedge fund manager, reported a rise in demand for carbon-neutral Bitcoin investment products.

SkyBridge Capital, a global investment business, collaborates with MOSS Earth, a carbon credit supplier. Additionally, their purpose is to acquire tokens representing 38,436 tonnes of carbon offsets.