MicroStrategy ETF accumulates $127m in assets, $100m daily volume

The newly launched MicroStrategy leveraged ETF, which trades under the ticker $MSTX, is quickly gaining traction on Wall Street.

The MSTX ETF has amassed $127 million in assets just six days after its launch, Bloomberg senior ETF analyst Eric Balchunas said.

The ETF, which aims to provide 175% of MicroStrategy’s daily stock return, trades with a daily volume of over $100 million, indicating strong investor interest in MicroStrategy and Bitcoin (BTC).

On August 23, the ETF was up 20% after a volatile week that included a 10% drop the day before. Because of its high volatility and significant short-term gain and loss potential, Balchunas described the ETF as the “mechanical bull” of ETFs.

$MSTX, issued by Defiance ETFs, known for its thematic and leveraged funds, allows investors to increase their exposure to Bitcoin, as MicroStrategy’s shares are seen as a proxy for the cryptocurrency.

MicroStrategy’s goals

MicroStrategy is one of the largest institutional holders of Bitcoin. The company recently announced plans to raise $2 billion by selling its Class A shares to further invest in Bitcoin and pay down debt.

MicroStrategy reported in its Q2 financial results that it purchased 12,222 Bitcoins for a total cost of over $805 million, bringing its total Bitcoin holdings to 226,500.

South Korea’s National Pension Service invested $33.75 million in 24,500 shares of MicroStrategy, and other funds like Japan’s GPIF and Michigan’s Pension System are also participating through ETFs. This growing institutional interest reflects a cautious but notable shift toward integrating Bitcoin into traditional investment portfolios.