The first-ever exchange-traded product combining Bitcoin and G | 🛡CA Capital Announcements

The first-ever exchange-traded product combining Bitcoin and Gold has launched in Europe

The first-ever exchange-traded product combining Bitcoin and Gold has launched in Europe, offering long-term rewards and inflation protection, at least in theory, Bloomberg reports.

Gold, the less volatile of the two assets, has a higher weighting of 81.5% at launch, while Bitcoin weighs 18.5%. The ETP rebalances both exposures in inverse proportion to their risk each month to manage volatility and increase returns.

Why it's Important: "Gold has historically delivered portfolio protection in inflationary environments, while Bitcoin is the digital equivalent of Gold with growing adoption by investors as a distinct asset class and a core store of wealth. In a time of rising structural inflation and heightened geopolitical risk, we believe this can act as an important risk and return diversifier in a balanced portfolio," stated Charlie Erith, CEO of ByteTree Asset Management.

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