Investment manager Rex Shares has launched the REX Bitcoin Corporate Treasury Convertible Bond ETF (NASDAQ: BMAX). This first-of-its-kind fund exposes investors to convertible bonds issued by companies integrating Bitcoin into their corporate treasury strategies.
“BMAX is the first ETF giving retail investors and investment advisors access to convertible bonds issued by companies integrating Bitcoin into their financial strategy,”
Said Greg King, CEO of Rex Financial, in a statement.
“Until now, these bonds have been difficult for individual investors to reach.”
The launch marks a significant step in broadening investor access to corporate Bitcoin adoption, pioneered by Michael Saylor, Chairman of Strategy, formerly MicroStrategy. An increasing number of public companies are issuing convertible bonds to finance Bitcoin acquisitions for their treasury. BMAX simplifies access to these bonds through a single, actively managed ETF.
Fund Composition and Investment Strategy
BMAX primarily holds convertible bonds from companies leveraging Bitcoin for corporate treasury purposes. As of launch, 81.21% of the fund is allocated to Strategy-issued convertible bonds, while Bitcoin miners Marathon Digital Holdings (MARA) and Riot Platforms (RIOT) account for 14.6% and 4.02% of the holdings. The remaining 0.17% is allocated to cash and other assets.
BMAX aims to provide debt stability and potential equity upside by investing in these bonds. Convertible bonds offer investors exposure to equity-linked returns while maintaining characteristics of debt securities, presenting a more conservative approach to Bitcoin investment compared to direct ownership.
The launch of BMAX coincides with a growing trend of institutional Bitcoin adoption. Strategy recently completed a $2 billion zero-coupon convertible note offering in February, using the proceeds to purchase 20,356 BTC for approximately $1.99 billion at an average price of $97,514 per Bitcoin. This acquisition brought Strategy’s total Bitcoin holdings to 499,096 BTC, valued at over $41 billion.
The timing of BMAX’s debut follows the recent launch of Bitwise’s Bitcoin Standard Corporations ETF (OWNB), which provides exposure to stocks of companies holding over 1,000 BTC in their treasury. Like BMAX, Strategy represents a significant portion of ONWB’s holdings, alongside Marathon Digital, CleanSpark, and Riot Platforms.
Rex Shares has been accelerating its cryptocurrency-related ETF initiatives in recent months. In January, the firm partnered with Osprey Funds to file registration statements for seven separate funds, including proposed ETFs for Ethereum, Bitcoin, Solana, XRP, Dogecoin, and Bonk.
Earlier this week, Rex and Osprey became the first firms to file for an ETF tracking MOVE, the native token of the Movement network, following the project’s public mainnet beta launch. These efforts highlight Rex Shares’ aggressive push to expand investor access to digital asset-based financial instruments.
