Deutsche Digital Assets (DDA) has introduced a groundbreaking investment tool, the first-ever Macro Bitcoin Exchange-Traded Product (ETP) on Xetra. This innovative ETP provides investors with a new way to invest in cryptocurrency by dynamically adjusting its Bitcoin exposure based on the current macroeconomic conditions.
The DDA Bitcoin Macro ETP is a turning point for investors seeking to balance macroeconomic risks with potential returns. Now available on Xetra of Deutsche Börse, it stands out for its unique approach of dynamically optimizing Bitcoin exposure in response to macroeconomic events.
The ETP effectively manages exposure to negative economic situations while also providing potential for Bitcoin’s growth. It is supported by Coinbase Custody International Ltd., which securely maintains a basket of cryptocurrencies known as the Compass FT DDA Bitcoin Macro Allocation Index (DDAMACRO).
By combining USD Coin (USDC) and Bitcoin (BTC) using important economic data, the ETP maximizes exposure and enhances long-term risk management. This creative approach allows investors to benefit from the upside of Bitcoin while reducing the risks associated with unfavorable macroeconomic conditions.
Addressing volatility and risk, the solution seeks to effectively control investment risk by dynamically adjusting exposure in response to major macroeconomic pressures, thereby addressing volatility issues.
Since its launch on July 3, 2024, the ETP has been accessible on Xetra and offers assets kept in “cold storage” to provide maximum protection. It also boasts institutional-grade security with a 2.00% total expense ratio.
For German private investors, the launch of the ETP offers tax benefits, as they could profit from capital gains tax exemptions following a 365-day holding period. This tax-efficient exposure to Bitcoin is particularly appealing due to Germany’s crypto-friendly tax rules.
As tokenized investment methods become more popular, the DDA Bitcoin Macro ETP sets a standard for next-generation products that combine bitcoin exposure with macroeconomic insights. This new product enhances DDA’s existing products and offers investors more choices on several European markets.
In the larger ETP market, the Virtune XRP ETP (VIRXRP) has been highlighted by CNF, offering Nordic investors a new choice as of today with its physical XRP backing on Nasdaq Stockholm.
Meanwhile, BTC is currently trading at about $59,820.43 per CoinMarketCap, showing a decrease of 4.84% over the last 24 hours.
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