Amun AG, a crypto investment instrument provider, has listed a new Bitcoin inverse exchange-traded product (ETP) on Swiss stock exchange SIX.
Unlike traditional ETP, inverse products allow traders to short on the prices of the underlying asset, meaning they can earn profits as the price of Bitcoin goes down. Moreover, the inverse ETP is reset at the end of each day, and the performance is not rolled over to the next day which makes it ideal to capture short term price movements of Bitcoin
Dubbed 21Shares Short Bitcoin ETP, the product will allow investors to book profits from Bitcoin’s price movement in both directions.
Commenting on the new product, Hany Rashwan, CEO of Amun, said: “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 capitalize on negative price movements.”
To the traders of the instrument, the platform will also charge a management fee of 2.5 percent on each trade.
Providing a range of ETPs
The Swiss fintech company has become a giant on crypto ETPs. With the latest addition, its portfolio has 11 products that are tied to multiple digital assets, including Bitcoin, Etherum, and even Binance Coin. However, all other products are long ETPs.
While most of Amun’s ETPs are listed on SIX, it also has products listed on BX Swiss as well.
“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,” Rashwan added.