The Hong Kong Inventory Trade (HKEX) is poised to make historical past tomorrow with the launch of Asia’s first inverse Bitcoin exchange-traded fund (ETF).
JUST IN: 🇭🇰 Asia’s first inverse #Bitcoin ETF to go reside tomorrow in Hong Kong. pic.twitter.com/HSV28BZd2l
— Bitcoin Journal (@BitcoinMagazine) July 22, 2024
The CSOP Bitcoin Futures Day by day (-1x) Inverse Product will start buying and selling on July twenty third. The ETF will put money into quick positions on Bitcoin futures contracts traded on the Chicago Mercantile Trade. This offers merchants publicity to the day by day inverse efficiency of the underlying Bitcoin futures index.
Merchants can hedge danger or speculate on downward value strikes by going quick on Bitcoin futures. This new device offers a substitute for shorting or shopping for put choices on Bitcoin immediately.
The inverse ETF is managed by CSOP Asset Administration, with HSBC because the trustee. It expenses a 1.99% annual payment and goals to draw $50-100 million in belongings below administration in 1-2 years.
The launch has generated buzz as a brand new option to commerce Bitcoin volatility. Whereas controversial to some, inverse Bitcoin ETFs are gaining traction globally. The ProShares Brief Bitcoin ETF (BITI) within the U.S. has over $70 million below administration.
The CSOP product would be the first of its form in Asia, bringing inverse Bitcoin publicity to Hong Kong’s $5.4 trillion inventory market. It represents one other milestone for mainstream Bitcoin adoption within the area.
