THELOGICALINDIAN - ProShares new ETF is advised to bear the changed achievement of the CME Bitcoin Futures Index
ProShares aloof appear the barrage of a new Bitcoin futures ETF that will acquiesce investors to “conveniently” accumulation from amount drops. The aggregation was the aboriginal to action a Bitcoin futures ETF in October 2024.
ProShares Launches Short Bitcoin ETF
ProShares is ablution the aboriginal Bitcoin abbreviate ETF.
According to a Monday columnist release, the ProShares Short Bitcoin Strategy (BITI) will accord investors a apparatus to barrier their crypto acknowledgment or accumulation from Bitcoin amount drops. The ETF is advised to bear the adverse achievement of the S&P CME Bitcoin Futures Index, and it’s set to barrage on Jun. 21.
Shorting is a trading action that involves affairs an asset on the bazaar with the apprehension of affairs it at a lower amount in the future. Investors “go short” back they accept that an asset will abatement in value. In crypto trading, those who are abbreviate barter on the apprehension that Bitcoin could abatement in price.
“As contempo times accept shown, Bitcoin can bead in value,” ProShares CEO Michael Sapir said in the columnist release. Bitcoin is trading at about $20,600 at columnist time, bottomward about 70% from its $69,000 aiguille recorded in November 2021. Sapir said that the ETF would advice investors booty advantage of Bitcoin’s amount animation by absolution them “conveniently” access abbreviate exposure.
ProShares will additionally barrage a abbreviate Bitcoin alternate armamentarium (BITIX) on the aforementioned day through its affiliated alternate armamentarium company, ProFunds. BITI and BITIX allotment the aforementioned advance objective.
ProShares memorably launched the aboriginal Bitcoin-based ETF in the U.S. in October 2024, absolution investors absolute accretion acknowledgment to the top crypto through a acceptable banal barter for the aboriginal time. Available beneath the ticker BITO, the firm’s Bitcoin futures ETF drew added than $1 billion from investors in its aboriginal two days.
Crucially, all of ProShares’ ETFs advance acknowledgment to Bitcoin through futures contracts. The Securities and Exchange Commission has to date baffled all efforts from assorted companies to barrage a Bitcoin atom ETF in the U.S. Crypto advance close Grayscale is currently campaigning for the SEC to acquiesce it to catechumen its Bitcoin clandestine assurance (GBTC) into such a product, but the SEC has not yet accomplished a decision.
Disclosure: At the time of writing, the columnist of this allotment endemic ETH and several added cryptocurrencies.
