ProShares, a US-based provider of exchange-traded products
6/21/2022, 04:05 AM
Cryptocurrencies have been on a rollercoaster ride over the past few months, with prices plummeting from all-time highs to new lows. This volatility has made it difficult for investors to profit from any continued sell-off of the digital token. ProShares' launch of the first short bitcoin exchange traded product in the US provides a fresh avenue for investors to profit from any further decline in bitcoin's price.
The ProShares Bitcoin Strategy ETF (BITO) surged past $1bn of assets within two days of its launch in October 2021, making it one of the hottest ETF launches of all time. However, the recent plunge in bitcoin's price has seen the value of BITO and other crypto exchange traded products fall sharply. The combined global assets under management of crypto exchange traded products have declined by 54% since November 2021, as investors have pulled out their money in response to the volatile market conditions.
Despite this, ProShares is optimistic that there will be interest in its new short bitcoin ETF. Given the current market environment, there is certainly no shortage of investors who believe that bitcoin's price is headed for further declines. With a management fee of 0.95%, and exposure to daily movements in bitcoin's price, the ProShares Short Bitcoin Strategy ETF (BITI) offers a convenient and relatively cost-effective way for investors to bet against further falls in cryptocurrency prices.
The ProShares Bitcoin Strategy ETF (BITO) surged past $1bn of assets within two days of its launch in October 2021, making it one of the hottest ETF launches of all time. However, the recent plunge in bitcoin's price has seen the value of BITO and other crypto exchange traded products fall sharply. The combined global assets under management of crypto exchange traded products have declined by 54% since November 2021, as investors have pulled out their money in response to the volatile market conditions.
Despite this, ProShares is optimistic that there will be interest in its new short bitcoin ETF. Given the current market environment, there is certainly no shortage of investors who believe that bitcoin's price is headed for further declines. With a management fee of 0.95%, and exposure to daily movements in bitcoin's price, the ProShares Short Bitcoin Strategy ETF (BITI) offers a convenient and relatively cost-effective way for investors to bet against further falls in cryptocurrency prices.