Osprey Funds Bonk ETP Launches - Will $BONK Repeat its Q4 2023 Price Surge?

Following the announcement of the BONK ETP at Solana Breakpoint 2024, Osprey Funds has made the Osprey Bonk Trust available to accredited investors.

The launch of the world’s first memecoin exchange-traded product represents a significant milestone for the crypto industry. More than a decade after the launch of Dogecoin ($DOGE), crypto’s original memecoin, the asset class is finally making meaningful strides towards becoming traditional financial instruments.

Arguably Solana’s most cherished cultural coin, $BONK was initially distributed as a surprise airdrop to the Solana community. Aiming to reward network participants and rally the community following the FTX collapse, $BONK has since evolved into a thriving ecosystem with over 770k holders. 

Here’s everything you need to know about the BONK ETP.

Osprey Funds Opens BONK ETP With $48M in AUM

The Osprey BONK Trust offers traditional, accredited investors simplified and secure access to $BONK, without needing to navigate the complexities of holding and managing blockchain-based assets.

To purchase shares in the Osprey BONK Trust, traditional investors need to meet certain requirements. Accredited investors must earn over $200k per year, have a net worth valued at over $1M, or be a licensed investment professional.

The Osprey Bonk Trust currently holds $48M in AUM (Assets Under Management), a figure that equates to just 2 trillion $BONK tokens. According to Osprey Funds, the ETP has 9.7M shares outstanding at a rate of 216,999 BONK per share.

Copper Custody is listed as the Fund’s official custody partner. One of the crypto industry’s largest custodians, Copper boasts existing partnerships with several reputable market makers and investment firms, including GSR and 21Shares.

The Osprey Bonk Trust’s minimum investment is set at $10,000 and is subject to a 2.5% management fee.

Will $BONK Repeat Last Year’s Historic Q4?

$BONK’s Q4 2023 performance has holders optimistic about the memecoin's immediate future. After a quiet year, $BONK went on a meteoric run towards the end of 2023 and kickstarting the Solana memecoin mania that led to the network’s DeFi resurgence in 2024.

Based on DexScreener data, $BONK’s market capitalization began Q4 at around $14M. Over the course of the following three months, $BONK’s market cap exploded to highs of $2.2B, representing a 150x in the asset’s valuation.

While the chances of $BONK repeating this price action given its current $1.75B market cap, holders are still optimistic about the asset’s performance heading into the end of the year. 

The launch of the BONK ETP and persistent token burns through various $BONK integrations are widely considered tobe bullish catalysts, with social media commentators drawing parallels between BONK and Shiba Inu’s fundamentals ahead of $SHIB historic Q4 in 2021.

BonkBot Burns Over $10M Since Launch

BonkBot, crypto’s most popular Telegram-based trading platform, is one of $BONK biggest deflationary forces. A percentage of fees collected by the BonkBot application are used to buyback and burn $BONK off the open market.

Since BonkBot’s launch in late 2023, the application has burnt over 458B $BONK, currently valued at over $10M USD.

While the Osprey Bonk Trust may not be at the top of Wall Street’s wishlist, the launch of the world’s first memecoin-based ETP marks the transition of this asset class from magic internet money to a traditional financial instrument.

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