TLDR
- OranjeBTC plans to launch DIGY11 on Brazil’s B3 exchange, with monthly income distributions paid in reais.
- The ETF would allocate 95% to Strategy’s STRC preferred stock and 5% to Strive’s SATA preferred stock.
- DIGY11 targets returns above Brazil’s 14.15% CDI rate, supported by preferred-stock payouts and rate differences.
- The fund plans to hedge U.S. dollar exposure using monthly foreign-exchange forwards to reduce currency risk.
- OranjeBTC expects DIGY11 to begin trading in early September, though no final listing date has been announced.
OranjeBTC is preparing to launch a new exchange-traded fund in Brazil that will target monthly income from Bitcoin-linked preferred stocks. OranjeBTC expects the proposed Digital Yield ETF, or DIGY11, to trade on Brazil’s B3 exchange in reais and begin trading in early September. The product would give local investors access to preferred-stock income through a B3-traded fund without holding the securities directly.
OranjeBTC Builds DIGY11 Around Preferred Stocks
The fund plans to place 95% of its portfolio in Strategy’s STRC preferred stock. The remaining 5% would go into Strive’s SATA preferred stock, giving investors exposure to recurring U.S. dollar distributions.
STRC currently offers a 12.5% yield, while SATA yields about 13.1%. The companies keep their Bitcoin holdings on their balance sheets and do not pledge those assets to preferred shareholders.
OranjeBTC expects DIGY11 to distribute income equal to Brazil’s 14.15% Interbank Deposit Certificate rate, plus about three to five percentage points. The estimate comes after the fund’s projected 1.30% total annual cost.
The target depends on preferred-share payouts and the interest-rate gap between Brazil and the United States. It does not include changes in DIGY11’s market price, and the fund does not guarantee returns.
Brazil Crypto ETF Market Expands
DIGY11 plans to reduce currency risk through one-month foreign-exchange forwards. The fund will roll those contracts monthly and rebalance the hedge every quarter.
3R Investimentos will manage the portfolio, while MarketVector will maintain the benchmark index. The fund will charge a 0.90% management fee, with OranjeBTC receiving an undisclosed share under a consulting agreement.
Brazil already has a large listed crypto investment market. Crypto funds and ETFs held 13.7 billion reais, or about $2.6 billion, across 576,000 investors in April 2025.
OranjeBTC holds 3,950 Bitcoin worth about $250 million. The company expects DIGY11 to start trading in early September, although it has not announced a final listing date.
