World’s First ETP With Combined Bitcoin, Gold Exposure Launches on SIX Swiss Exchange

The first exchange-traded product (ETP) that mixes Bitcoin (BTC) and gold publicity has been listed on Europe’s third greatest stock alternate – SIX.

The new product has been unveiled by Zug-based ETP issuer 21shares in partnership with funding adviser ByteTree Asset Management.

Best of Old and New World

According to the official post, the bodily backed index product, generally known as 21Shares ByteTree BOLD ETP (ticker BOLD), is designed to trace an index comprising Bitcoin and gold, which rebalances month-to-month as per the comparative volatility of the 2 belongings.

The fund will rebalance on the idea of 360-day historic volatility. The asset with much less volatility will obtain larger weightage in a bid to maximise risk-weighted returns.

Due to its decrease volatility, gold has been assigned with a better weighting of 81.5% at launch. Bitcoin, on the opposite hand, has an 18.5% share. Its goal is to “deliver inflation protection by tracking an index that gives optimal risk-adjusted exposure to bitcoin and gold.” The announcement additionally learn,

“Gold and bitcoin provide diversification to a balanced portfolio. BOLD offers investors a convenient way to invest in gold and bitcoin, in a structure that prudently manages risk. Rebalancing transactions are carried out within a tax-efficient structure.”

Charlie Erith, a chief funding officer of ByteTree Asset Management, stated the thought is to make Bitcoin an appropriate asset to carry whereas bringing gold into the twenty first century.

Both belongings have attracted important consideration as hedging instruments towards inflation. Amidst rising structural inflation and heightened geopolitical danger, Erith believes the hybrid product has the potential to behave as an essential danger and return diversifier in a balanced portfolio.

Following the event, Hany Rashwan, 21Shares co-founder and CEO, commented,

“This hybrid product combines the traditional value of gold with the promising return rates of bitcoin, which is considered by many as the new gold.”

21Shares’ Various Offerings

The new ETP is the thirtieth product by 21Shares. The standard crypto ETP issuer even ventured into the metaverse with 21Shares The Sandbox ETP (SAND) earlier this month. Earlier, it revealed that the ETP is designed to offer traders a safe approach to capitalize on the expansion of the Ethereum-based decentralized digital world – The Sandbox.

As reported earlier than, 21Shares teamed up with ETF Securities to roll out the primary two ETFs in Australia, monitoring the value of Bitcoin and Ethereum. However, the launch has been delayed for now.

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