Hashdex Shuts DEFI Bitcoin ETF After Weak Demand

Hashdex is shutting down its DEFI spot Bitcoin ETF after failing to attract enough trading activity and investor demand to compete in the crowded U.S. bitcoin ETF market. The fund will stop trading on NYSE Arca on August 17, 2026, and will liquidate its holdings—about 225 BTC as of July 30—by selling Bitcoin on the open market and returning cash to shareholders around August 28, 2026. The closure highlights the market dominance of larger U.S. spot bitcoin funds, especially BlackRock’s iShares Bitcoin Trust, and underscores how liquidity, assets under management, and bid-ask spreads can determine survivability in ETF markets. For investors, the payout could also trigger taxable events.