Fineqia Launches Europe’s First Bitcoin ETP Generating Yield via DeFi

Fineqia has launched a first-of-its-kind Bitcoin exchange-traded product (ETP) in Europe, offering investors exposure to Bitcoin while simultaneously generating yield through decentralized finance (DeFi) strategies.

The product, named the Fineqia Bitcoin Yield ETP (YBTC), made its debut on Tuesday on the Vienna Stock Exchange. Unlike traditional crypto ETPs that depend on derivatives or structured financial instruments, YBTC directly deploys its underlying Bitcoin into DeFi protocols to earn returns. The product targets an annual yield of 6%.

Issued by Fineqia’s Liechtenstein-based subsidiary and advised by Psalion Yield—a digital asset investment firm specializing in blockchain-based yield—the ETP offers one-to-one Bitcoin exposure while generating additional returns through on-chain yield mechanisms.

“This allows investors to earn more BTC while holding it, blending long-term conviction with the power of compounding, all within a regulated investment structure,” said Bundeep Singh Rangar, CEO of Fineqia.

A key feature of the YBTC is support for in-kind transfers, enabling digital asset holders to contribute BTC directly to the ETP without first converting to fiat—thus avoiding potential taxable events.

The launch comes amid rising institutional interest in crypto investment products. By offering a familiar, regulated structure, crypto ETPs like YBTC make digital asset investing more accessible to traditional investors via brokerage accounts, eliminating the need for wallets or direct interaction with blockchain infrastructure.

According to Fineqia, Bitcoin-focused exchange-traded products have seen explosive growth over the past year, now representing more than $150 billion in assets globally.