Developers of the 21Shares ByteTree BOLD ETP have launched this Bitcoin and gold-blended exchange-traded product in Europe this week. This financial offering is the first-ever exchange-traded product or ETP that combines gold and Bitcoin.
We find this news about Bitcoin and gold-blended exchange-traded product 21Shares ByteTree BOLD ETP interesting, and we would like to share it with our followers. We believe they will also feel fascinated with the many investment asset possibilities that can arise from Bitcoin.
According to the news posted online by business and markets news outlet Bloomberg, ByteTree Asset Management conceptualized the 21Shares ByteTree BOLD ETP with ticker BOLD.
This United Kingdom-based alternative investment provider collaborated with 21Shares, a Swiss cryptocurrency ETP company, to produce the Bitcoin and gold-blended exchange-traded product.
The 21Shares ByteTree BOLD ETP offers investors the twin prospects of inflation protection and long-term returns. In a statement, ByteTree Asset Management and 21Shares remarked that they aim to bring together the best of finance’s new and old worlds with their Bitcoin and gold-blended exchange-traded product.
Additionally, the issuing parties said they would perform this blending action by wagering on the robust returns of Bitcoin being the world’s most famous virtual currency and gold’s investment portfolio-hedging power.
The 21Shares ByteTree BOLD ETP works by rebalancing both exposures monthly in inverse proportion to their risk. This function is to manage volatility and boost financial returns.
Additionally, at the Bitcoin and gold-blended exchange-traded product’s debut, Bitcoin has an 18.5-percent weighting. Meanwhile, gold, which is the less volatile of these two investment assets, has been assigned a higher weighting of 81.5 percent.
In a statement, Charlie Erith pointed out that gold has historically delivered investment portfolio protection in inflationary environments.
This chief executive officer of ByteTree Asset Management added that Bitcoin is gold’s digital equivalent, with the increasing adoption by investors as a core store of wealth and a distinct investment asset class.
Erith remarked that they at ByteTree Asset Management believe the 21Shares ByteTree BOLD ETP can function as a significant return and risk diversifier in a balanced investment portfolio.
The Bitcoin and gold-blended exchange-traded product’s developer pointed to this era of rising structural inflation and increased geopolitical risk.
The 21Shares ByteTree BOLD ETP is a novel, physically-backed index product combining gold and Bitcoin. It is the first-ever offering of its kind.
However, Bloomberg reported that the concept of capitalizing on the two investment assets is not new. The Incrementum Digital and Physical Gold Fund is a small and open-ended unit trust.
In 2020, this investment option was incorporated in Liechtenstein. Furthermore, the Incrementum Digital and Physical Gold Fund allocates investments between gold and virtual currencies and has approximately €20 million or US$21 million in assets at this time.
We find the 21Shares ByteTree BOLD ETP fascinating. It is the first-ever Bitcoin and gold-blended exchange-traded product launched on the global investment scene.
We think cryptocurrencies like Bitcoin open new possibilities for consumers in the investment realm, and this reality makes us appreciate these crypto-assets more.
We believe we will see more of 21Shares ByteTree BOLD ETP’s kind and other cryptocurrency-related investment products in the near future. This possibility means consumers will have more ways to achieve financial security and success.