21SHARES LAUNCHES HYBRID BITCOIN AND GOLD ETP TO ENABLE INFLATION HEDGE

Last updated: June 19, 2025, 18:40 | Written by: Changpeng Zhao

21Shares Launches Hybrid Bitcoin And Gold Etp To Enable Inflation Hedge
21Shares Launches Hybrid Bitcoin And Gold Etp To Enable Inflation Hedge

In a move designed to provide investors with a robust shield against inflation, 21Shares, a leading issuer of cryptocurrency exchange-traded products (ETPs), has launched a groundbreaking hybrid Bitcoin and gold ETP. 21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP tracking a mix of Bitcoin (BTC) and gold. The Switzerland-based firm on Wednesday announced theThis innovative product, known as the 21Shares ByteTree BOLD ETP (BOLD), aims to offer investors a diversified and risk-adjusted exposure to both Bitcoin (BTC) and gold, two assets often seen as safe havens during times of economic uncertainty. 21Shares launches hybrid Bitcoin and gold ETP to enable inflation hedgeWith inflation rates soaring globally, the demand for effective hedging strategies is on the rise. cointelegraph.com: Launched in cooperation with ByteTree, the new BOLD ETP by 21Shares comprises 18.5% of BTC and 81.5% of gold at launch.The BOLD ETP presents a unique solution by combining the potential growth of Bitcoin with the stability of gold, weighted in inverse proportion to their risk.This strategic asset allocation seeks to optimize returns while mitigating potential downside risks associated with each individual asset. The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aiming to provide inflation protection by tracking an index providing risk-adjusted exposure to both BTC and gold.This new ETP, launched in collaboration with ByteTree, represents a significant step forward in the evolution of digital asset investment products and offers a compelling option for investors seeking to protect their portfolios from the erosive effects of inflation. BTCUSD Bitcoin 21Shares launches hybrid Bitcoin and gold ETP to enable inflation hedge Launched in cooperation with ByteTree, the new BOLD ETP by 21Shares comprises 18.5% of BTC and 81.5% of goldAs investors grapple with increasingly volatile markets, the BOLD ETP provides a potentially attractive avenue for preserving and growing wealth. 21Shares has a 13.7% year to date Bitcoin yield.

Understanding the 21Shares ByteTree BOLD ETP (BOLD)

The 21Shares ByteTree BOLD ETP (BOLD) is a novel financial instrument that blends the characteristics of two distinct asset classes: Bitcoin and gold.Understanding the core components and the rationale behind this hybrid approach is crucial for investors considering this ETP as part of their portfolio.

What is the BOLD ETP?

The BOLD ETP is an exchange-traded product designed to track an index that provides risk-adjusted exposure to both Bitcoin and gold. BOLD's core investment objective is to deliver protection against inflation via optimized risk adjusted exposure to Bitcoin and Gold with assets weighted in inverse proportion to their risk.At launch, the ETP comprises 18.5% Bitcoin and 81.5% gold. Launched in cooperation with ByteTree, the new BOLD ETP by 21Shares comprises 18.5% of BTC and 81.5% of gold at launch. 21Shares, a major issuer ofThis allocation is not static; it's dynamically adjusted based on the relative risk of each asset.The primary objective of the BOLD ETP is to deliver protection against inflation by leveraging the complementary characteristics of Bitcoin and gold.

The ETP is the result of a collaboration between 21Shares, a major player in the cryptocurrency ETP market, and ByteTree, a digital asset manager known for its expertise in blockchain data and investment strategies.

Why Bitcoin and Gold?

Bitcoin and gold are often viewed as inflation hedges, albeit with different characteristics:

  • Gold: Gold has historically been a store of value and a safe haven asset during times of economic uncertainty.Its limited supply and intrinsic value have made it a popular choice for investors seeking to preserve wealth during periods of inflation.
  • Bitcoin: Bitcoin, on the other hand, is a relatively new asset class that has gained popularity as a potential hedge against inflation and monetary debasement. 21Shares, a large issuer of cryptocurrency exchange-traded products (ETP), is launching a caller ETP tracking a premix of Bitcoin and gold.The Switzerland-based steadfast connected Wednesday announced the motorboat of the 21Shares ByteTree BOLD ETP (BOLD), a caller merchandise aiming to supply ostentation extortion by tracking an scale providing risk-adjusted vulnerability to some BTC and gold.Its decentralized nature, limited supply (capped at 21 million coins), and growing adoption have contributed to its appeal.

However, both assets have their own risks and limitations. [ ] Strategy touts 13.7% YTD Bitcoin yield in earnings print Bitcoin [ ] Bitcoin trader says BTC s cycle top in $125K to $150K range if certain conditions are met BitcoinGold's price can be influenced by factors such as interest rates and central bank policies. 21Shares launches hybrid Bitcoin and gold ETP to enable inflation hedge 21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP. Trader Predicts Downside for Dogecoin Rival That s Up Over 8,000% in Three Months, Updates.Bitcoin is known for its high volatility and regulatory uncertainty.

The BOLD ETP seeks to mitigate these risks by combining the two assets and dynamically adjusting their allocation based on their relative risk.This approach aims to provide investors with a more balanced and risk-adjusted exposure to the potential benefits of both Bitcoin and gold.

How the BOLD ETP Works: Risk-Adjusted Exposure

The key innovation of the BOLD ETP lies in its risk-adjusted approach to asset allocation.Instead of simply holding a fixed percentage of Bitcoin and gold, the ETP dynamically adjusts its holdings based on the perceived risk of each asset.

Inverse Risk Weighting

The BOLD ETP employs an inverse risk weighting methodology. 21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP tracking a mix of Bitcoin (BTC) and gold. The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aiming to provide inflation protection by tracking an index providing risk-adjusted exposure to both BTC and [ ]This means that the asset with the higher perceived risk will have a lower allocation in the portfolio, while the asset with the lower perceived risk will have a higher allocation.

For example, if Bitcoin is deemed to be more volatile or risky than gold, the ETP will reduce its Bitcoin holdings and increase its gold holdings. Launched in cooperation with ByteTree, the new BOLD ETP by 21Shares comprises 18.5% of BTC and 81.5% of gold at launch. 21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP tracking a mix of Bitcoin and gold.Conversely, if gold is deemed to be riskier than Bitcoin, the ETP will increase its Bitcoin holdings and reduce its gold holdings.

Risk Measurement

The specific metrics used to measure risk can vary depending on the index tracked by the ETP.However, common measures of risk include:

  • Volatility: A measure of the price fluctuations of an asset over a given period.
  • Correlation: A measure of the relationship between the price movements of two assets.
  • Beta: A measure of an asset's sensitivity to market movements.

By incorporating these risk measures into its asset allocation strategy, the BOLD ETP aims to provide investors with a more stable and risk-adjusted return profile than holding Bitcoin or gold alone.

The Role of Inflation Hedging in Today's Economy

In today's economic climate, inflation is a major concern for investors. 21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP tracking a mix of Bitcoin (BTC) and gold. The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aiming to provide inflation protection by tracking an index providing risk-adjusted exposure to both BTC and gold.Rising prices can erode the purchasing power of savings and investments, making it difficult to maintain wealth and achieve financial goals.

What is Inflation?

Inflation is the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.As inflation rises, every dollar you own buys a smaller percentage of a good or service.

Why is Inflation a Concern?

High inflation can have several negative consequences:

  • Erosion of purchasing power: As prices rise, consumers can buy less with their money.
  • Reduced investment returns: Inflation can eat into investment returns, making it difficult to achieve financial goals.
  • Economic uncertainty: High inflation can create uncertainty and volatility in financial markets.

Traditional Inflation Hedges

Historically, investors have used various assets as inflation hedges, including:

  • Gold: As mentioned earlier, gold has traditionally been seen as a store of value during inflationary periods.
  • Real estate: Real estate can appreciate in value during inflationary periods, providing a hedge against rising prices.
  • Inflation-indexed bonds: These bonds are designed to protect investors from inflation by adjusting their principal value based on changes in the consumer price index (CPI).

Bitcoin as an Emerging Inflation Hedge

Bitcoin has emerged as a potential inflation hedge in recent years, although its effectiveness is still debated. Launched in cooperation with ByteTree, the new BOLD ETP by 21Shares comprises 18.5% of BTC and 81.5% of gold at launch. 21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP tracking a mix of Bitcoin (BTC) and gold.Proponents argue that its limited supply and decentralized nature make it a good store of value during times of monetary debasement. The ETP, called the 21Shares Bytree BOLD ETP, is a collaboration between 21Shares and digital assets manager Bytree. According to the ETP s website, the product seeks to serve as an inflation hedge by tracking an index that has risk-adjusted exposure to both Bitcoin and gold.However, its high volatility and relatively short history make it a riskier option than traditional inflation hedges.

The BOLD ETP seeks to bridge the gap between traditional and emerging inflation hedges by combining the potential benefits of both gold and Bitcoin in a single investment product.

Benefits of Investing in the BOLD ETP

Investing in the 21Shares ByteTree BOLD ETP (BOLD) offers several potential benefits for investors seeking to protect their portfolios from inflation and diversify their asset allocation.

Inflation Protection

The primary benefit of the BOLD ETP is its potential to provide inflation protection. The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aimed at providing inflation protection by tracking an index providing risk-adjusted exposure to both BTC and gold.By combining Bitcoin and gold, the ETP aims to capture the upside potential of both assets during inflationary periods while mitigating the risks associated with each individual asset.

Diversification

The BOLD ETP offers investors access to two distinct asset classes with different characteristics and risk profiles. The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aiming to provide inflation protection by tracking an index providingThis diversification can help to reduce overall portfolio volatility and improve risk-adjusted returns.

Risk Management

The ETP's risk-adjusted allocation strategy aims to manage the volatility and risk associated with both Bitcoin and gold. 21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP tracking a mix of Bitcoin and gold.The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aimed at providing inflation protection by tracking an index providing risk-adjusted exposure to both BTC and gold.By dynamically adjusting the allocation based on the relative risk of each asset, the ETP seeks to provide a more stable and predictable return profile.

Ease of Access

As an exchange-traded product, the BOLD ETP can be easily bought and sold on stock exchanges, making it accessible to a wide range of investors.This eliminates the need to directly purchase and store Bitcoin or gold, simplifying the investment process.

Potential Risks and Considerations

While the BOLD ETP offers several potential benefits, it's important to be aware of the risks and considerations associated with investing in this product.

Volatility

Both Bitcoin and gold can be volatile assets, and the BOLD ETP is subject to the price fluctuations of both.While the ETP's risk-adjusted allocation strategy aims to mitigate this volatility, it cannot eliminate it entirely. The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aimed at providing inflation protection by tracking an index providing riskInvestors should be prepared for the possibility of significant price swings.

Correlation Risk

The effectiveness of the BOLD ETP as an inflation hedge depends on the correlation between Bitcoin, gold, and inflation. Launched in cooperation with ByteTree the new BOLD ETP by 21Shares comprises 18 5 of BTC and 81 5 of gold at launch 21Shares a major issuer of cryptocurrency exchange-traded products ETP is launching a new ETP tracking a mixIf these assets do not perform as expected during inflationary periods, the ETP may not provide the desired level of protection.

Regulatory Risk

The regulatory landscape for Bitcoin and other cryptocurrencies is still evolving, and changes in regulation could impact the value of the BOLD ETP.Investors should be aware of the regulatory risks associated with investing in digital assets.

Management Fees

The BOLD ETP charges management fees, which can reduce the overall return on investment.Investors should carefully consider the fees associated with the ETP before investing.

Tracking Error

The BOLD ETP aims to track the performance of its underlying index, but there may be differences between the ETP's actual performance and the index's performance due to factors such as trading costs and management fees.This is known as tracking error.

How to Invest in the 21Shares ByteTree BOLD ETP

Investing in the 21Shares ByteTree BOLD ETP is relatively straightforward, as it trades on established stock exchanges.Here's a step-by-step guide:

  1. Open a brokerage account: If you don't already have one, open an account with a reputable brokerage firm that offers access to ETPs.
  2. Fund your account: Deposit funds into your brokerage account using a method such as a bank transfer or wire transfer.
  3. Search for the BOLD ETP: Use the ticker symbol of the BOLD ETP (check the 21Shares website or your broker for the correct ticker) to find it on the exchange.
  4. Place your order: Specify the number of shares you want to purchase and the type of order you want to place (e.g., market order, limit order).
  5. Monitor your investment: Keep track of the ETP's performance and adjust your portfolio as needed based on your investment goals and risk tolerance.

Expert Opinions and Market Predictions

As with any new investment product, it's valuable to consider expert opinions and market predictions regarding the BOLD ETP and its underlying assets.

Analyst Perspectives

Financial analysts have offered varying perspectives on the BOLD ETP.Some view it as a promising solution for inflation hedging, praising its risk-adjusted approach and diversification benefits. This post was originally published on this site Launched in cooperation with ByteTree, the new BOLD ETP by 21Shares comprises 18.5% of BTC and 81.5% of gold at launch.Others express caution, citing the volatility of Bitcoin and the uncertainty surrounding the regulatory landscape.

Market Predictions

Predicting the future performance of any investment is inherently difficult, but market analysts often offer insights based on macroeconomic trends and asset valuations.Some analysts believe that gold will continue to perform well in the face of rising inflation and economic uncertainty.Others are optimistic about Bitcoin's long-term potential as a store of value, citing its limited supply and growing adoption.

It's important to note that these are just predictions, and actual market outcomes may differ.Investors should conduct their own research and consult with a financial advisor before making any investment decisions.

Alternatives to the BOLD ETP

While the BOLD ETP offers a unique approach to inflation hedging, investors may also consider alternative investment options.

Gold ETFs

Gold ETFs are exchange-traded funds that track the price of gold. United States Latest News,United States Headlines. Bitcoin and gold, working together to fight inflation. 21Shares, a major issuer of cryptocurrency exchange-traded products, is launching a new ETP tracking a mix of Bitcoin and gold.These ETFs provide investors with a convenient and cost-effective way to gain exposure to gold without having to directly purchase and store the physical metal.

Bitcoin ETFs

While a spot Bitcoin ETF is not yet available in the United States, several countries offer Bitcoin ETFs that track the price of Bitcoin. [ad_1]21Shares, a major issuer of cryptocurrency exchange-traded products (ETP), is launching a new ETP tracking a mix of Bitcoin (BTC) and gold.The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), aThese ETFs provide investors with a regulated and accessible way to invest in Bitcoin.

Inflation-Indexed Bonds

Inflation-indexed bonds are government-issued bonds that adjust their principal value based on changes in the consumer price index (CPI). The Switzerland-based firm on Wednesday announced the launch of the 21Shares ByteTree BOLD ETP (BOLD), a new product aimed at providing inflation protection by tracking an index providingThese bonds provide investors with a guaranteed level of inflation protection.

Commodities

Other commodities, such as silver, platinum, and oil, can also be used as inflation hedges. Launched in cooperation with ByteTree, the new BOLD ETP by 21Shares comprises 18.5% of BTC and 81.5% of gold at launch. ContinueHowever, these commodities have their own unique risks and characteristics that investors should consider.

Conclusion: Is the BOLD ETP Right for You?

The 21Shares ByteTree BOLD ETP (BOLD) represents a novel approach to inflation hedging by combining the potential benefits of Bitcoin and gold in a single, risk-adjusted investment product. 21Shares, a significant issuer of cryptocurrency exchange-traded merchandise (ETP), is launching a brand new ETP monitoring a mixture of Bitcoin (BTC) and gold.This ETP offers investors a diversified and accessible way to potentially protect their portfolios from the erosive effects of inflation while managing the inherent risks associated with both asset classes.However, it's crucial to remember that all investments carry risk, and the BOLD ETP is no exception.The volatility of Bitcoin, regulatory uncertainties, and management fees are all factors that investors should carefully consider before investing.Before making any investment decisions, it is imperative to conduct thorough research, understand your own risk tolerance, and consult with a qualified financial advisor.The BOLD ETP might be a valuable addition to a well-diversified portfolio for investors seeking inflation protection, but it's essential to approach it with a clear understanding of its potential benefits and risks.The key takeaways are that BOLD ETP offers risk-adjusted exposure to Bitcoin and gold, it's designed to protect against inflation, and it's easily accessible through brokerage accounts.

Changpeng Zhao can be reached at [email protected].

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