Business

ProShares will launch a short bitcoin ETF this week

A Bitcoin coin sits on a screen showing the Bitcoin – US dollar exchange rate.

Fernando Gutierrez-Juarez | image union | beautiful pictures

Eight months after establishment First US Bitcoin Futures ETFProShares plans to launch its first bitcoin-linked short-term ETF on Tuesday in the US, the investment products provider announced Monday.

The ProShares Short Bitcoin Strategy, which will trade on the New York Stock Exchange under the ticker BITI, is designed to provide investors with a way to profit from discount of cryptocurrencies. It will have a cost ratio of 0.95%.

Bitcoin fell to a new 2022 low over the weekend of $17,601.58, according to Coin Metrics, after six months of decline amid a growing sell-off in the risky asset.

“As recent times have shown, bitcoin can drop in value,” ProShares CEO Michael Sapir said in a press release Monday. “BITI is for investors who believe the price of bitcoin will fall with the opportunity to take a potential profit or protect their cryptocurrency ownership. BITI allows investors to gain short-term exposure to bitcoin. conveniently through buying ETFs in a traditional brokerage account.”

BITI will be the first ETF of its kind in the US Horizons ETFs with a short bitcoin ETF listed on the Toronto Stock Exchange.

ProShares says BITI is designed to provide the opposite of the performance of the S&P CME Bitcoin Futures Index, and it seeks to gain visibility through bitcoin futures contracts.

It remains to be seen how reasonable the launch time is. The market remains rife with uncertainty as investors await the next steps from the Federal Reserve and signs of peaking inflation, but many are still speculating about the crypto market. is at or near the bottom.

On Monday, bitcoin was up about 70% from its all-time high, which it reached in early November just weeks after ProShares launched its Bitcoin Strategy ETF (BITO). Bitcoin quickly reversed lower and has been falling ever since.

Source link

news5h

News5h: Update the world's latest breaking news online of the day, breaking news, politics, society today, international mainstream news .Updated news 24/7: Entertainment, Sports...at the World everyday world. Hot news, images, video clips that are updated quickly and reliably

Related Articles

Back to top button