Swiss crypto ETP issuer 21Shares has introduced an investment tool the 21Shares Bitcoin Core ETP (CBTC) that is specifically geared toward the coming crypto winter.
The company just launched the 21Shares Bitcoin Core ETP (CBTC), an ETP created especially to provide affordable exposure to Bitcoin (BTC) in the midst of the current market sell-off.
With a total expense ratio chosen to mirror the 21 million cap on Bitcoin, the physically-backed Bitcoin ETP began trading on the SIX Swiss Exchange on June 29. The company claims that CBTC’s ratio is 44 basis points lower than that of the next-lowest product available.
CBTC is a part of the Crypto Winter Suite, a larger bear market-focused line of products from 21Shares. According to Arthur Krause, the ETP product director at 21Shares, the offering intends to give investors more affordable ways to access the cryptocurrency ecosystem in times of market uncertainty.
Krause stated that although it is usually ideal to purchase an asset when prices have dropped, this is frequently the period when investors are the most hesitant to do so. In order to maximize portfolio returns during times of significant market volatility, he continued, CBTC wants to make it a little bit simpler for investors to access Bitcoin.
The executive claims that 21Shares already has a number of products geared toward more difficult market situations, such as 21Shares Short Bitcoin ETP and 21Shares Bytetree BOLD ETP. Krause stated that the new cryptocurrency winter offering intends to increase these investing options on bear market-focused products, adding:
“CBTC will be a permanent member of the 21Shares product range (as will future products that are launched as a part of the Crypto WInter Suite). We intend to offer investors a full range of products that support them in positioning portfolios for a range of market conditions.”
As was previously mentioned, many business executives predicted that the cryptocurrency sector would drastically fall in 2022. As a result of Bitcoin’s fourth halving, some executives even anticipated that the next bull run wouldn’t start until 2024 or early 2025.
The major cryptocurrency Bitcoin fell below $20,000 in June for the first time since late 2020, which exacerbated the market’s acute dread mood.
Despite the fact that many crypto businesses have suffered significant losses as a result of this bear market, some CEOs voiced optimism that bear markets are beneficial for Bitcoin and the crypto sector as a whole.
