VanEck has announced a temporary reduction of its management fee to zero. Despite its fervent belief in Bitcoin, the asset manager behind the spot bitcoin exchange-traded fund (ETF) named HODL has struggled to amass investments into its fund.

According to a report by Coindesk, the firm's assets managed under HODL stand a little over $305 million, significantly below its competitors. Thus, VanEck has declared a fee waiver for its Bitcoin ETF, HODL, effective until March 31, 2025, or until the fund reaches $1.5 billion in assets, whichever comes first.

VanEck’s HODL Lures Investors with Zero Fees

The asset management firm mentioned on X: "Because we believe in #bitcoin so much, starting tomorrow, you can invest in VanEck Bitcoin Trust (HODL) with no fees until March 31, 2025."

"If the Trust's assets exceed $1.5 billion before March 31, 2025, the Sponsor Fee charged on assets over $1.5 billion will be 0.20%. All investors will incur the same Sponsor Fee, the weighted average of those fee rates. After March 31, 2025, the Sponsor Fee will be 0.20%."

IMPORTANT UPDATE!

Because we believe in #bitcoin so much, starting tomorrow, you can invest in VanEck Bitcoin Trust (HODL) with no fees until March 31st, 2025.*

*During the period commencing on March 12, 2024, and ending on March 31, 2025, the Sponsor will waive the entire…

— VanEck (@vaneck_us) March 11, 2024

Expect ongoing updates as this story evolves.