DEFI vs. NCIQ

Last updated Jun 26, 2026

DEFI (Hashdex Bitcoin Futures ETF) and NCIQ (Hashdex Nasdaq Crypto Index US ETF) are both Cryptocurrency funds from Hashdex - DEFI tracks the HDEFI – Hashdex U.S. Bitcoin Futures Fund Benchmark Index while NCIQ tracks the Nasdaq Crypto US Settlement Price™ Index. Both are passively managed. Over the past year, DEFI returned -45.00% vs -46.49% for NCIQ. With a 0.98 correlation, they move nearly in lockstep. DEFI charges 0.90%/yr vs 0.25%/yr for NCIQ.

Performance

DEFI vs. NCIQ - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Hashdex Bitcoin Futures ETF (DEFI) and Hashdex Nasdaq Crypto Index US ETF (NCIQ). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, DEFI achieves a -32.17% return, which is significantly higher than NCIQ's -35.77% return.

DEFI

• 1D: -0.85%
• 1M: -22.00%
• YTD: -32.17%
• 6M: -32.00%
• 1Y: -45.00%
• 3Y*: —
• 5Y*: —
• 10Y*: —

NCIQ

• 1D: -1.15%
• 1M: -22.38%
• YTD: -35.77%
• 6M: -35.67%
• 1Y: -46.49%
• 3Y*: —
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

DEFI vs. NCIQ - Yearly Performance Comparison

	2026 (YTD)	2025
DEFI Hashdex Bitcoin Futures ETF	-32.17%	-8.86%
NCIQ Hashdex Nasdaq Crypto Index US ETF	-35.77%	-13.57%

Correlation

The correlation between DEFI and NCIQ is 0.99 - these two move nearly in lockstep. At this level, holding both provides almost no diversification benefit. If you already own one, adding the other does little to reduce portfolio risk.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.99
Correlation (All Time) Calculated using the full available price history since Feb 14, 2025	0.98

The correlation between DEFI and NCIQ has been stable across timeframes, ranging from 0.98 to 0.99 - a consistent structural relationship.

Return for Risk

DEFI vs. NCIQ — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

DEFI

DEFI Risk / Return Rank: 2
DEFI Sharpe Ratio Rank: 2
DEFI Sortino Ratio Rank: 2
DEFI Omega Ratio Rank: 2
DEFI Calmar Ratio Rank: 2
DEFI Martin Ratio Rank: 2

NCIQ

NCIQ Risk / Return Rank: 2
NCIQ Sharpe Ratio Rank: 2
NCIQ Sortino Ratio Rank: 2
NCIQ Omega Ratio Rank: 2
NCIQ Calmar Ratio Rank: 2
NCIQ Martin Ratio Rank: 2

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

DEFI vs. NCIQ - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Hashdex Bitcoin Futures ETF (DEFI) and Hashdex Nasdaq Crypto Index US ETF (NCIQ). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	DEFI	NCIQ	Difference
Sharpe ratio: Return per unit of total volatility	-1.01	-0.97	-0.04
Sortino ratio: Return per unit of downside risk	-1.50	-1.44	-0.06
Omega ratio: Gain probability vs. loss probability	0.83	0.84	-0.01
Calmar ratio: Return relative to maximum drawdown	-0.86	-0.82	-0.04
Martin ratio: Return relative to average drawdown	-1.46	-1.38	-0.08

DEFI vs. NCIQ - Sharpe Ratio Comparison

The current DEFI Sharpe Ratio is -1.01, which is comparable to the NCIQ Sharpe Ratio of -0.97. The chart below compares the historical Sharpe Ratios of DEFI and NCIQ, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

DEFI vs. NCIQ - Drawdown Comparison

The maximum DEFI drawdown since its inception was -52.79%, smaller than the maximum NCIQ drawdown of -57.05%. Use the drawdown chart below to compare losses from any high point for DEFI and NCIQ.

Drawdown Indicators

	DEFI	NCIQ	Difference
Max Drawdown Largest peak-to-trough decline	-52.79%	-57.05%	+4.26%
Max Drawdown (1Y) Largest decline over 1 year	-52.79%	-57.05%	+4.26%
Current Drawdown Current decline from peak	-52.79%	-57.05%	+4.26%
Average Drawdown Average peak-to-trough decline	-17.34%	-23.60%	+6.26%
Ulcer Index Depth and duration of drawdowns from previous peaks	30.83%	33.64%	-2.81%

Volatility

DEFI vs. NCIQ - Volatility Comparison

The current volatility for Hashdex Bitcoin Futures ETF (DEFI) is 13.34%, while Hashdex Nasdaq Crypto Index US ETF (NCIQ) has a volatility of 14.32%. This indicates that DEFI experiences smaller price fluctuations and is considered to be less risky than NCIQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	DEFI	NCIQ	Difference
Volatility (1M) Calculated over the trailing 1-month period	13.34%	14.32%	-0.98%
Volatility (6M) Calculated over the trailing 6-month period	34.95%	36.71%	-1.76%
Volatility (1Y) Calculated over the trailing 1-year period	44.66%	48.10%	-3.44%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	48.89%	48.09%	+0.80%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	48.89%	48.09%	+0.80%

DEFI vs. NCIQ - Expense Ratio Comparison

DEFI has a 0.90% expense ratio, which is higher than NCIQ's 0.25% expense ratio.

Dividends

DEFI vs. NCIQ - Dividend Comparison

Neither DEFI nor NCIQ has paid dividends to shareholders.

Tickers have no history of dividend payments

Frequently Asked Questions

Can I hold both DEFI and NCIQ in my portfolio?

With a correlation of 0.99, DEFI and NCIQ move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, DEFI or NCIQ?

NCIQ has higher volatility (14.32%) compared to DEFI (13.34%). In terms of maximum drawdown, DEFI dropped -52.79% vs NCIQ's -57.05%.

Which ETF is better, DEFI or NCIQ?

On 1-year performance, DEFI leads with -45.00% vs -46.49% for NCIQ. On fees, NCIQ is cheaper at 0.25% per year. On volatility, DEFI has been the lower-risk option at 13.34%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, DEFI or NCIQ?

Over the 1-year period, DEFI has performed better with a -45.00% return vs -46.49%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, DEFI or NCIQ?

NCIQ is cheaper with a 0.25% expense ratio, compared with 0.90% for DEFI.

Which ETF pays a higher dividend yield, DEFI or NCIQ?

DEFI and NCIQ have nearly identical dividend yields, around 0.00%.

What is the main difference between DEFI and NCIQ?

DEFI tracks HDEFI – Hashdex U.S. Bitcoin Futures Fund Benchmark Index, while NCIQ tracks Nasdaq Crypto US Settlement Price™ Index. Their fees differ too: 0.90% for DEFI and 0.25% for NCIQ.

Which has better risk-adjusted returns?

NCIQ currently has the higher Sharpe Ratio (-0.97 vs -1.01), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.