REX Shares, a firm focused on exchange-traded products, announces the launch of the REX Bitcoin Corporate Treasury Convertible Bond ETF (NASDAQ: BMAX), a fund that provides exposure to convertible bonds issued by companies actively incorporating Bitcoin into their corporate treasury.
In a strategy adopted by Michael Saylor, Chairman of Strategy (formerly MicroStrategy), public companies are increasingly “using convertible bonds to finance Bitcoin purchases for their treasury.”
BMAX simplifies access to these bonds via “a single, actively managed ETF.”
The fund is said to be concentrated and strategically focuses “on issuers like Strategy (MSTR), a leader in Bitcoin-backed convertible debt.”
Greg King, CEO of REX Financial said:
“BMAX is the first ETF giving retail investors and investment advisors access to convertible bonds issued by companies integrating Bitcoin into their financial strategy. Until now, these bonds have been difficult for individual investors to reach. BMAX removes those barriers, making it easier to invest in the strategy pioneered by Michael Saylor—leveraging corporate debt to acquire Bitcoin as a treasury asset.”
By investing in these convertible bonds, BMAX claims that it “seeks to provide a unique blend of debt stability and equity upside.”
Investors are able to gain exposure to companies leveraging Bitcoin in their treasury strategy while reportedly benefiting “from the structural advantages of convertible bonds.”
Rather than sourcing individual bonds or truing to navigate the complexities of Bitcoin ownership, BMAX claims that it offers “a streamlined, regulated way to engage with this market and obtain indirect exposure to Bitcoin in a more conservative way than direct ownership.”
As clarified in the update, investing in BMAX is not equivalent to investing directly in Bitcoin.
As noted in the update, REX Financial is a “provider of exchange-traded products specializing in alternative-strategy ETFs and ETNs, with over $6 billion in assets under management.”
REX is reportedly known for its MicroSectors and T-REX product lines and recently introduced a “series of option-based income strategies.”
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