The cryptocurrency mining space is going through big changes, and Grayscale Investments is stepping in with its Bitcoin Miners ETF (MNRS) at a time when mining stocks are on the rise. Bitcoin (BTCUSD) hit a recent high above $102,000 earlier this week, and mining companies like Core Scientific (CORZ), and TeraWulf (WULF), have seen massive growth, with gains of 292% and 205% over the past year. On top of that, the global cryptocurrency market is expected to grow to $17.52 billion by 2033, with mining projected to grow at an annual rate of 12.9%.
The MNRS ETF launched on Jan. 30, 2025, just as the industry hit some major milestones.
As the crypto sector continues to grow and mature, MNRS offers a way to capture these developments in one place. Let’s delve into the structure and strategy of this groundbreaking ETF that's positioning itself at the intersection of traditional finance and cryptocurrency mining.
Overview of Grayscale Bitcoin Miners ETF
The Grayscale Bitcoin Miners ETF (MNRS), offers a straightforward way to get into the Bitcoin mining sector. It tracks the Indxx Bitcoin Miners Index and launched on Jan. 30, 2025.
In just a short time, it has built up $7.3 million in assets under management, showing investor interest in the crypto mining space. With an expense ratio of 0.59%, or $59 on an initial $10,000 investment, MNRS provides an affordable option for those looking to access the world of Bitcoin mining.
The fund includes 27 holdings, with the top 10 making up 68.27% of its total assets. Marathon Digital (MARA) leads with 14.99%, followed by Riot Platforms (RIOT) at 12.15% and Core Scientific (CORZ) at 9.93%. Other key holdings include Cipher Mining (CIFR) at 5.15%, IREN (IREN) at 4.72%, and CleanSpark (CLSK) at 4.68%. Applied Digital (APLD), HUT 8 (HUT), Northern Data (NB2.D.DX), and TeraWulf (WULF) round out the top spots.
Trading activity for MNRS has been interesting to watch. Its first week saw a volume of 77,100 shares, but this week it dropped to 36,200 shares. The price has also seen some movement, starting at $26.80 and hitting a high of $27.59 on Jan. 31, 2025. After dipping to $23.09 on Feb. 3, it has recovered to trade above $26 on Feb. 6.
Grayscale Investments designed MNRS to cover all aspects of the Bitcoin mining world. The ETF takes a long-only approach, focusing on companies involved in mining operations, equipment manufacturing, and infrastructure development that support the Bitcoin network.
This setup allows MNRS to tap into both the operational side of mining and the technological improvements driving the industry forward, making it a well-rounded option for anyone looking to explore this growing sector without directly holding cryptocurrency themselves.
Catalysts Driving Bitcoin Mining Growth
The Bitcoin mining sector is gaining serious momentum, boosted by President Donald Trump’s recent push for crypto-friendly policies. After taking office in January, Trump wasted no time signing an executive order to create a cryptocurrency working group aimed at drafting new regulations and even exploring a national Bitcoin stockpile. This move helped Bitcoin surge past $109,000, setting the stage for mining operations to thrive.
Trump’s administration has backed this up with key actions, like appointing Mark Uyeda as acting SEC chairman and forming a new Crypto Task Force. These changes have brought much-needed regulatory clarity and drawn significant institutional interest to the sector. On top of that, companies like Bitdeer (BTDR) are making big moves. The company’s recent $21.7 million purchase of a 101-MW gas-fired power plant in Alberta shows how mining firms are focusing on cutting costs, with plans to lower production expenses to between $20 and $25 per MW/h. This operational focus, paired with the expected surge in institutional investments through spot Bitcoin ETFs — which could hit $250 billion in assets by the end of the year — paints a pretty picture for mining stocks.
The market has responded positively to these developments. Events like the Inaugural Crypto Ball in Washington, D.C., have attracted major institutional interest and attention.
Looking ahead, Trump’s goal of making America the global leader in crypto aligns with experts predicting Bitcoin could hit between $130,000 and $150,000 by Q2 2025. While tariffs on Chinese imports might raise equipment costs for miners, the sector’s ability to adapt by integrating artificial intelligence and high-performance computing shows its resilience. Together, these factors create a promising outlook for Bitcoin mining and its role in shaping the future of digital assets.
Conclusion
Grayscale’s MNRS ETF arrives at just the right time, offering a streamlined way to tap into the booming Bitcoin mining sector. With policy support, rising institutional interest, and technological advancements reshaping operations, the ETF positions itself as a timely option for those looking to ride this wave.
On the date of publication, Ebube Jones did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
