Global X Drops Fees to Zero on European Crypto ETPs

US-based ETF provider Global X has temporarily eliminated fees for two physically backed cryptocurrency exchange-traded products in Europe.

The asset manager, owned by Mirae Asset, is temporarily waiving fees on its Global X Bitcoin and Global X Ethereum ETPs until Jan. 3, 2025. After that date, a fee of 0.29% will apply, The Financial Times reported Tuesday.

In March 2022, these two investment products began trading on stock exchanges in Frankfurt and Zurich for a fee of 0.65%. The move appears to be strategic to attract European investors.

Global X’s Bitcoin and Ethereum ETPs are still relatively small, with the Bitcoin fund having around $4.3m and the Ethereum fund around $5.7m in assets under management as of May 24.

Global X Lowers Fees on Crypto ETPs Following London Stock Exchange Entrants

The fee cut on Global X’s crypto ETPs comes after the launch of similar Bitcoin and Ethereum products on the London Stock Exchange from WisdomTree and 21Shares.

In March, the UK’s financial regulator opened the door for crypto asset exchange-traded notes on certain exchanges. However, these products are currently restricted to professional investors only.

This decision has sparked some debate, as evidenced by a UK lawmaker’s recent call to the FCA to revisit its ban on crypto exchange-traded products for retail investors.

WisdomTree’s two ETPs boast a low fee of 0.35%, claiming to be one of the most competitive rates for institutional-grade, physically-backed crypto ETPs.