OranjeBTC Plans Brazil ETF With 95% in Strategy's STRC
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- OranjeBTC plans the DIGY11 ETF on Brazil's B3 exchange, allocating 95% to Strategy's STRC preferred shares and 5% to Strive's SATA, with monthly income distributions in reais and trading targeted for early September.
- DIGY11 targets annual distributions of Brazil's CDI interbank rate of 14.15% plus 3-5 percentage points, net of an estimated 1.30% total cost, though returns are not guaranteed, per Director of Strategy Sam Callahan.
- The fund will hedge dollar exposure through one-month FX forwards rolled monthly and rebalance quarterly, charging a 0.90% management fee with OranjeBTC receiving an undisclosed cut under a consulting agreement.
- STRC and SATA currently yield 12.5% and 13.1% respectively in recurring U.S. dollar distributions, and the underlying bitcoin remains on each company's balance sheet rather than being pledged to preferred shareholders.
- Similar products abroad have drawn thin demand: the 21Shares Strategy Yield ETP on European exchanges holds just $17.6 million and owns STRC alone, while U.S. exposure sits mainly inside VanEck's $2.44 billion PFXF at roughly $251 million across four Strategy preferreds, about 10% of the fund.
- Brazil's listed crypto market held 13.7 billion reais ($2.6 billion) across 576,000 investors as of April 2025, and OranjeBTC itself holds 3,950 BTC ($250 million); 3R Investimentos will manage DIGY11 and MarketVector will maintain the benchmark index.
Why it matters: OranjeBTC is giving Brazilian investors a local-currency, monthly-distribution vehicle for Strategy's preferred-share yield without direct U.S. brokerage access, charging 0.90% inside a 1.30% total cost. The 95% STRC concentration ties DIGY11's CDI-plus-3-to-5-point yield target directly to Strategy's distribution policy and the Brazil-U.S. rate spread. Similar European wrappers hold just $17.6 million, versus Brazil's 576,000-investor crypto fund base.
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