VanEck’s spot Bitcoin ETF (HODL) officially ended its zero-sponsor-fee period on July 31, holding $1.076 billion in net assets — just 43% of the $2.5 billion threshold needed to extend the waiver. The fund had waived its entire sponsor fee on the first $2.5 billion in assets through that date, but fell $1.424 billion short. Going forward, the full 0.20% annual sponsor fee applies to all trust assets, costing investors roughly $20 a year for every $10,000 invested. The expiry came on a turbulent day for crypto ETFs, as the broader U.S.-listed complex recorded approximately $250 million in net outflows.
Bitcoin funds drove the downturn, with spot Bitcoin ETFs bleeding $265.37 million on July 31, according to Farside Investors data. BlackRock’s iShares Bitcoin Trust (IBIT) led redemptions with $122.66 million, followed by Fidelity’s Wise Origin Bitcoin Fund ($54.78 million) and Grayscale’s Bitcoin Trust ($52.63 million). Bitwise’s BITB and ARK 21Shares’ ARKB lost $17.77 million and $17.54 million, respectively. Six other Bitcoin ETFs, including VanEck’s HODL, reported flat flows. This abrupt reversal came just one day after Bitcoin products attracted $233.15 million in net inflows, marking a sharp shift in month-end positioning.
Divergence was evident elsewhere: spot Ethereum ETFs gathered $9.03 million in net inflows, with BlackRock’s Ether product alone pulling in $15.38 million. XRP funds added $7.69 million, while Solana products collected about $395,390. Hyperliquid funds lost $1.83 million. The mixed flows underscored selective institutional appetite, as Bitcoin struggled near $63,650, down 1.5% over 24 hours and remaining below its 50-day moving average.
VanEck’s fee change aligns HODL’s 0.20% cost with Bitwise’s Bitcoin ETF, just above Franklin’s 0.19% and below iShares’ 0.25%. The waiver’s end, coupled with the day’s outflows, adds another layer of uncertainty as the market enters August.
