ETF of the Week: CoinShares Valkyrie Bitcoin Miners ETF (WGMI)
VettaFi's Head of Research Todd Rosenbluth discussed the CoinShares Valkyrie Bitcoin Miners ETF (WGMI) on this week's “ETF of the Week” podcast with Chuck Jaffe of “Money Life.” For more news, information, and strategy, visit the CoinShares Crypto ETF Hub.
This Equity ETF Gained 78% in the Second Quarter
The second quarter brought with it a number of new risks and challenges for markets. U.S. equity investors weathered significant tariff-driven drawdowns in April, and ongoing volatility.
WGMI a Second Quarter Top Performer
Tariff volatility rocked markets for much of the second quarter, creating pressure on U.S. bonds and equities. In the challenging environment, rife with uncertainty and investor concern, a handful of funds generated significant performance.
Bitcoin Miners Increase Hash Rates as Prices Rise
Bitcoin is flirting with all-time highs. That's a move that may have been forecast by miners.
Positive Signs Flashing in Bitcoin Miners Space
Last week was a potentially significant stretch for bitcoin and other cryptocurrencies as the largest digital currency traded above $100,000 for the first time in several months. Miners went along for the ride.
WGMI Captures Riot Platforms' Record Quarterly Revenue
Riot Platforms announced earnings on Thursday, notching its highest quarterly revenue and squeezing past Wall Street estimates. Although bitcoin miners faced challenges in the first quarter, Riot remains optimistic, with ongoing expansion happening at its Corsicana Facility.
As Bitcoin Proves Resilient, Look to Miners With WGMI
The ongoing market rout in response to U.S. tariff concerns, escalating trade wars, and geopolitical tensions creates challenges for investors seeking havens and opportunity. Bitcoin emerged in the last week as a surprising performer, volatile and yet ultimately resilient during equity and bond drawdowns.
WGMI: Mining Economics Continue To Face Challenges
CoinShares Bitcoin Miners ETF shares have plummeted nearly 40% in two months, significantly under-performing both the US equity market and Bitcoin. Miner volume share has spiked to 15% in 2023, highlighting a shift in Bitcoin adoption and a lack of on-chain usage. Despite Bitcoin's price correction, the global hash rate continues to rise, exacerbating the economic challenges for miners due to decreasing block subsidies.
The Fundamental Drivers of Bitcoin to CoinShares
Bitcoin was a hot topic at the recently concluded Exchange conference in Las Vegas. So I connected with Matthew Kimmel, digital assets research analyst at CoinShares, to learn more.
Bitcoin Miners Are Getting Really Cheap to Own
For some investors, owning individual bitcoin mining equities can be a double-edged sword. On one hand, these stocks, like bitcoin itself, can be volatile and prone to significant percentage moves in short time frames.
Buying Opportunity Beckons With Bitcoin Miners
The recent price retrenchment of bitcoin had the predictable impact of pressuring shares of companies that mine the largest cryptocurrency. But at least one an analyst remains constructive on the space.
CoinShares Bitcoin Miners ETF May Benefit From Tailwinds But Still Underperform
WGMI offers indirect Bitcoin exposure through companies focused on mining and related services. If we look at its top three holdings (CORZ, IREN, and CIFR), they make up over 42% of its assets. WGMI also has a high expense ratio of 0.75%, which doesn't seem justified. In fact, it has significantly underperformed its top three assets.
