European investors can now buy Bitcoin exposure designed to reduce a second risk that often gets hidden behind the Bitcoin price itself: the movement of the U.S. dollar against the euro.
HANetf has launched the Arrow Bitcoin EUR Hedged ETC, ticker EBTC, with listings on Euronext Paris and Deutsche Börse Xetra. The product uses physical replication, carries a 0.49% total expense ratio, and is designed to reduce the effect of EUR/USD exchange-rate movements while preserving exposure to Bitcoin.
European Bitcoin Buyers Normally Take Two Bets
Bitcoin trades globally with the U.S. dollar as its dominant reference currency. A euro-based investor buying an unhedged Bitcoin product therefore experiences two moving variables at once: the price of Bitcoin and the value of the dollar against the euro.
If Bitcoin rises in dollars while the dollar weakens against the euro, part of the Bitcoin gain can disappear when the position is translated back into euros. If the dollar strengthens, the currency movement can amplify the euro return.
EBTC is built to reduce that second variable. HANetf says HSBC provides the currency hedge, applying a structure already common in currency-hedged equity, bond and commodity products to Bitcoin.
A Simple Example Shows Why the Hedge Matters
Consider a simplified example. Bitcoin rises 20% in U.S. dollars, but over the same period the dollar weakens 10% against the euro. Ignoring fees, hedge costs and tracking differences, an unhedged euro investor would not simply receive a 20% return. The currency translation would pull the result closer to roughly 8%.
A successful currency hedge is intended to neutralize much of that EUR/USD effect so the investor’s return more closely reflects Bitcoin itself. The hedge does not guarantee perfect tracking, and real results depend on hedge implementation, transaction costs and market conditions.
The Product Is Physically Backed
HANetf lists EBTC’s replication method as physical replication. That means the Bitcoin exposure is backed by the underlying asset structure rather than being created solely through a leveraged derivative bet.
The product’s base currency is euros, its ISIN is XS3438606090, and HANetf lists Interactive Brokers LLC as custodian. The issuer is HANetf Multi-Asset ETC Issuer Plc.
The structure is an ETC rather than a U.S.-style spot Bitcoin ETF. European product rules commonly use ETP, ETN or ETC structures for single-asset Bitcoin exposure. BitcoinVersus has followed the evolution of listed Bitcoin products since the court ruling that accelerated U.S. spot Bitcoin ETF approval.
The Hedge Does Not Protect Against Bitcoin Losses
Currency hedging can remove one source of noise, but it does not change the underlying risk of Bitcoin. If Bitcoin falls 30% in dollar terms, eliminating EUR/USD movement does not make that Bitcoin decline disappear.
HANetf explicitly warns that cryptocurrencies can be highly volatile and that investors may not recover their original investment. The 0.49% TER is also only the disclosed product expense ratio; currency hedging can introduce implementation costs that affect tracking over time.
Watch Why Europe Uses Bitcoin ETP and ETC Wrappers
The video below explains the European Bitcoin exchange-traded-product structure, including HANetf’s earlier Bitcoin ETC offerings and why European investors often use ETP or ETC wrappers rather than U.S.-style single-asset ETFs.
Currency Hedging Is Moving Into Crypto
HANetf says assets in hedged share classes across the wider European ETF market grew from $56.8 billion in 2017 to $283.8 billion in 2025. Its argument is that Bitcoin is now mature enough as an investment category for investors to demand the same currency-management tools already used with global equities, bonds and gold.
The company launched both EBTC and a sterling-hedged counterpart, GBTC. The euro version trades on Euronext Paris and Xetra, while the pound version trades on the London Stock Exchange. HANetf describes them as the first currency-hedged crypto ETCs of their kind.
What the New Product Changes
- EBTC gives euro investors physically replicated Bitcoin exposure through a listed ETC.
- HSBC provides the currency hedge intended to reduce EUR/USD movements.
- The product trades on Euronext Paris and Xetra.
- Its TER is 0.49%.
- The hedge reduces currency noise, not Bitcoin volatility.
- Investors can now choose between unhedged Bitcoin exposure and a version designed to isolate more of the Bitcoin return from dollar movements.
The larger story is not that Europe has invented another way to buy Bitcoin. It is that Bitcoin exposure is becoming sophisticated enough for investors to choose which risks they actually want. EBTC lets a euro investor make a Bitcoin decision without automatically making the same-sized dollar decision at the same time.
Leave a Reply