21Shares, the global issuer of exchange-traded products (ETPs), is taking action to respond to the current bear market by launching investment vehicles focused on the crypto winter.
The company has introduced 21Shares Bitcoin Core ETP (CBTC), an ETP program specifically designed to offer low-cost exposure to Bitcoin (BTC) to ongoing market sell-offs.
The Bitcoin ETP backed actually began trading on the SIX Swiss Exchange on Wednesday, with a total spend ratio of 21 basis points, chosen to reflect the cap of 21 million on Bitcoin. According to the company, CBTC is 44 basis points lower than the next lowest product in the market.
CBTC is part of the 21Shares series of market-focused products referred to as the Crypto Winter Suite. The offering aims to provide investors with more options with which to enter the crypto platform during challenging markets by providing lower costs, Arthur Krause, 21Shares product manager at ETP, told Cointelegraph.
“Usually the best time to buy an asset is when prices are low – but that often happens when investors are more reluctant to buy,” Krause noted. He added that CBTC aims to facilitate investor access to Bitcoin during highly volatile markets to improve portfolio returns.
According to the CEO, 21Shares already offers several products geared towards more challenging market conditions, including the 21Shares Short Bitcoin ETP and the 21Shares Bytetree BOLD ETP. The new winter offering of cryptocurrencies aims to further expand these investment opportunities into market-focused products, Krause said, adding:
CBTC will be a permanent member of the 21Shares product suite (as well as future products launched as part of the Crypto Winter Suite). We intend to offer investors a full range of products that support them in positioning portfolios for a range of market conditions.”
As previously reported by Cointelegraph, many industry executives have been anticipating a major crypto market drop in 2022. Some executives have even predicted that the next bitcoin rally won’t come until 2024 or early 2025, which is linked to the bitcoin halving the fourth.
Related: “Builders Rejoice”: Experts on Why Bear Markets Are Good for Bitcoin
In June, the major cryptocurrency Bitcoin dropped below $20,000 for the first time since late 2020, fueling intense fear in the markets. Although many crypto companies have experienced significant losses due to this bear market, some executives still express confidence that bear markets are good for Bitcoin and the crypto industry in general.
