- BTCG ETP dynamically reallocates between Bitcoin and gold based on risk-adjusted performance.
- Bitwise’s BTCG ETP offers a balanced strategy for Bitcoin growth and gold stability.
- Backed by physical Bitcoin and Pax Gold, BTCG ETP ensures secure, risk-managed investments.
Bitwise Asset Management launched the Bitwise Diaman Bitcoin & Gold ETP (BTCG) on Euronext Paris and Amsterdam to substantially change investment options. The ETP, tracking the Diaman Bitcoin and Gold Index, offers a unique asset allocation strategy that dynamically adjusts holdings between Bitcoin and gold based on their risk-adjusted performances. This method aims to leverage the growth potential of Bitcoin while utilizing the stability of gold during market downturns.
Bradley Duke, Head of Bitwise Europe, emphasized the importance of providing sophisticated investment solutions that bridge traditional and digital assets. The BTCG ETP responds to the increasing demand for diversified and risk-managed investment options in the face of volatile markets. The product adjusts its positions monthly through ULCER indices, which evaluate market volatility and determine optimal investment distribution for intelligent market reaction.
Strategic Partnership and Technology Drive Market Innovation
Bitwise seeks to improve the ETP through its partnership with Diaman Partners, which receives funds from European asset manager Azimut. Diaman Partners CEO Daniele Bernardi described how the product uses Bitcoin’s historical returns and gold’s role as a risk hedge asset during times of economic instability. By creating this joint venture, Bitwise meets the demand for digital assets and solves the investment risks that institutional investors often face in Bitcoin.
The ETP operates with ULCER indices which represent advanced tools developed in the late 1980s for measuring downside risk more effectively than traditional methods. The volatility indices deliver precise measurements to help investors track and address the risk levels between Bitcoin and gold assets.
Security and Compliance at the Forefront
The Bitwise Diaman Bitcoin & Gold ETP maintains strict security protocols and meets all compliance standards. Physical Bitcoin and Pax Gold (PAXG) assets completely support this product through cold-storage protection measures that secure all assets against unauthorized transactions. Physical replication of the index serves compliance purposes and guarantees enhanced security for what investors expect from their investment products.
Through BTCG, Bitwise continues its European market growth strategy while expanding its portfolio of crypto-based investment products. Bitwise remains a top company in digital asset access because it delivers regulated financial instruments with transparent, innovative financial instruments. Institutional and private investors will find this new product attractive because it lets them diversify investment funds across digital and traditional assets while reducing their exposure to investment risks.
