Hashdex will stop trading its DEFI Bitcoin ETF after the Aug. 17 close, giving investors a final window to exit before the fund is liquidated.
According to an SEC filing, investors who remain after trading ends will receive cash from the liquidation of its Bitcoin holdings by Aug. 28. The eventual payout will reflect the fund’s net asset value after Bitcoin price movements, transaction costs, and other closing expenses.
The approaching deadline is already shrinking the fund.
Hashdex data showed DEFI held about $8.7 million in assets and 134.95 BTC on Aug. 11, down from $11.77 million and 180.26 BTC on Aug. 7.
More significantly, shares outstanding fell to 120,000 from 160,000 over those three days, a 25% decline that indicates investors were redeeming positions ahead of the shutdown.
Bitcoin ETF rebound bypasses DEFI
The contraction comes even as money has returned to US spot Bitcoin ETFs, highlighting how unevenly that demand is distributed.
During the previous week, US spot Bitcoin ETFs attracted $865.3 million in net inflows between Aug. 3 and Aug. 7, Farside Investors data showed.
BlackRock’s IBIT accounted for $693.5 million, or 80.1%, of the total, leaving roughly $171.8 million for the rest of the market combined.
The five-day streak ended Aug. 10, when the group recorded $144.6 million in aggregate outflows.
While IBIT’s dominance does not explain Hashdex’s decision to close DEFI, the contrast shows how strong headline Bitcoin ETF flows can coexist with weak demand for individual products.
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