The Swiss crypto investment company 21Shares has launched two new exchange-traded products (ETPs), offering investors access to the largest cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH). New ETPs have been released to reduce volatility by rebalancing digital assets against the US dollar (USD).
They are called 21Shares S&P Risk Controlled Bitcoin Index ETP and 21Shares S&P Risk Controlled Ethereum Index ETP. Trading started on July 20, 2022, on the Swiss Stock Exchange. The new products entered the market under the tickers SPBTC and SPETH.
According to the financiers, both ETPs are targetting a 40% volatility level, which should be achieved through dynamic rebalancing or placement of more US dollar assets when these indicators rise in the digital asset market.
The products aim to replicate the benchmarks of the S&P indices, which control risk by adjusting exposure to the underlying index and allocating it dynamically across fiat currencies.
Arthur Krause, ETP Product Director at 21Shares, emphasized that the new ETPs are designed to achieve the overall goal of moderate volatility.
Sharon Liebowitz, Chief Innovation Officer of S&P Dow Jones Indices, mentioned that the firm has been heavily involved in crypto in recent years, with SPBTC and SPETH being examples of indexes aimed at addressing the underlying problems of the crypto market.
Earlier, 21Shares talked about the launch of an amazing exchange product. The firm has announced the first combined ETP linked to Bitcoin and Gold.