Amun launches first inverse bitcoin tracker ETP
Amun AG has launched the 21Shares Short Bitcoin ETP (SBTC) on the Swiss Stock Exchange (SIX), which tracks the opposite performance of bitcoin to give investors an easy, cost effective and convenient way to gain exposure in both directions of the Bitcoin price movements.
The SBTC tracker is the first short or inverse product of its kind using a digital asset as the underlying for an ETP structure (Exchange Traded Products - ETP). It enables investors to capture falling price movements in Bitcoin BTC via their traditional broker or bank. In contrast to shorting, which is usually associated with high lending costs (or margin calls), the inverse ETP is reset at the end of each day and the performance is not rolled over to the next day. Therefore, it is ideally suited to capture short term price movements of Bitcoin for a short recommended period. With the SBTC tracker, investors can immediately and securely capitalise on falling adverse price movements of the largest and most liquid digital asset.
21Shares Short Bitcoin ETP by Amun is a natural extension to the existing unleveraged range of crypto ETPs and offers a greater choice to investors by which they may better manage the increased volatility and changing dynamics of the cryptocurrency markets.
“We have worked hard to be in a position to launch the first inverse Bitcoin ETP on a regulated trading venue here in Switzerland. Amun offers an existing suite of long investment products for a variety of crypto assets, however, the one missing puzzle was to deliver a product to capitalise on negative price movements,” says Hany Rashwan, CEO Amun AG. “Our platform is now near complete and marks an important step towards the introduction of derivative products in conventional ETP form for the still nascent crypto market and I am proud that the Amun team continues to pioneer innovation and bring new investor-friendly institutional grade products to the market.”
The 21Shares suite is composed of eleven trackers – both single underlying trackers as well as innovative crypto basket composite products. Fully collateralised, custodied in institutional segregated accounts with an independent custodian, these institutional-grade trackers are an ideal structure for both retail and institutional investors to get an exposure to these nascent digital asset classes. The full 21Shares suite of 11 ETPs are listed in US Dollars (USD) and additionally 2 in Swiss Francs and 3 in euros on the SIX Swiss exchange, six of them are also traded in Swiss Francs on BX Swiss, the second Swiss exchange. Further admissions to listing on European venues will occur in 2020 following the approval by the Financial Supervisory Authority (SFSA) of Amun’s Base Prospectus in November 2019.
21Shares represent the new name of the family of Exchange Traded Products issued by Amun AG. The entire suite of existing ETPs will be migrated over to the new brand in the course of the second quarter 2020. 21Shares by Amun will pave the way with a new financial markets identity distinguishing the conventional financial issuances from other digital issuances.