21Shares launches hybrid Bitcoin and gold ETP to enable inflation hedge



21Shares, a major issuer of cryptocurrency exchange-traded products (ETPs), is launching a new ETP that tracks a combination of Bitcoin (BTC) and gold.

The Swiss-based firm on Wednesday Announced the launch of 21Shares ByteTree BOLD ETP (BOLD), a new product that aims to provide protection against inflation by tracking an index that provides risk-adjusted exposure to both BTC and gold.

Listed on the SIX Swiss Exchange, the new hybrid ETP is subject to monthly rebalancing according to the inverse historical volatility of each asset. At launch, BOLD comprises 18.5% BTC and 81.5% gold.

The new ETP was developed in collaboration with UK-based alternative investment provider ByteTree Asset Management. The product is positioned as the world’s first combined BTC and gold ETP.

“Historically, gold has provided portfolio protection in inflationary environments, while Bitcoin is the digital equivalent of gold,” ByteTree CEO Charlie Erith said, adding:

“At a time of rising core inflation and heightened geopolitical risk, we believe this can act as an important risk and return diversifier in a balanced portfolio.”

21Shares co-founder and CEO Hany Rashwan noted that many people in the crypto community see BTC as a digital alternative to gold, stating:

“This hybrid product combines the traditional value of gold with the promising rates of return of bitcoin, considered by many to be the new gold.”

With the new ETP, 21Shares has reached an important milestone as BOLD is the 30th digital asset ETP. thrown out Formerly known as Amun, 21Shares is one of the world’s largest crypto ETP providers, listing the world’s first multi-crypto ETP on the SIX Swiss Exchange in November 2018.

In early April, 21Shares launched an ETP sandbox to offer crypto investors exposure to the metaverse. The new metaverse-focused ETP tracks the performance of SAND, the native token of community-driven gaming platform The Sandbox.

Related: Financial Advisors Survey and Grayscale Feedback Suggests Strong Support for Crypto Spot ETF

21Shares is also among the companies expected to launch Australia’s first Bitcoin and Ether (ETH) exchange-traded funds (ETFs) soon. According to a recent update from Cboe Australia, the ETFs will not start trading on Thursday as previously planned due to additional controls.