In recent years, the crypto market has experienced remarkable dynamics – especially Bitcoin. The veteran of cryptocurrencies is currently flirting with its all-time high of $72,000. At the same time, the launch of the first Bitcoin ETFs means that the traditional financial world is more interested in cryptocurrencies than ever. This is not least the case because the market capitalization of the crypto world now also offers sufficient liquidity to larger private and institutional investors.
Bitcoin (similar to its physical counterpart gold) has now established its reputation as a value preservation asset. Bitcoin is not only experiencing strong price increases – adoption is also growing steadily. The current upward trend of the oldest cryptocurrency is strongly linked to the broader crypto market. After an extensive bear market, positive price developments have been emerging for some time, signaling a green light for investors.
Bitcoin has recorded an impressive growth rate of over 1,210% in the last five years. Additionally, the halving on April 20 resulted in a halving of the Bitcoin payout. This initially results in a tighter supply. Combining this with the increasing demand from the traditional financial world resulting from ETF approval in the USA and Hong Kong creates an interesting dynamic that should have a positive impact on the price developments of Bitcoin and other cryptocurrencies. In this way, ETFs create an influx of capital from the traditional financial world and increased interest in ETPs as an investment strategy.
Invest in ETPs with CoinShares
What are ETPs and why are they the optimal crypto investment strategy in 2024?
But what exactly are ETPs? The term stands for (Exchange Traded Products). These are regulated, traditional financial products that offer investors exposure to a wide range of assets. In this way, ETPs exist for stocks, bonds, commodities and cryptocurrencies. They are traded just like stocks on regulated exchanges or through brokers.
While thousands of ETPs exist for traditional assets, there are over 166 cryptocurrency exchange traded products on the European market. They allow you to gain exposure to a single cryptocurrency such as Bitcoin or an index (basket) of cryptocurrencies. The steady increase in inflows shows that ETPs have become increasingly popular in recent years.
Exchange-traded products can offer different structures, namely physical or synthetic. Physical ETPs own the underlying asset and synthetic ones use derivatives to reflect the price of the asset. The physical ETP as a security is designed to precisely track the price of an asset. This means investors do not take any risk that their physical ETP will deviate from the price development of the underlying asset.
To the official CoinShares website
Enjoy the advantages of ETPs with CoinShares
With physical ETPs, the underlying cryptocurrencies are held in high-security wallets by independent custodians. In this way, there is no issuer risk for you. The deposits of the physical ETPs are kept separate from the company’s assets and cannot be included in the bankruptcy estate. This represents a decisive advantage over conventional crypto exchanges.
ETPs offer you secure access to long-term crypto investments with high profit potential, easy access through a common broker, physical reinsurance, protection against bankruptcies and protection against custody risks.
CoinShares is one of the leading providers of crypto ETPs. The company is a fully regulated ETP provider listed on Nasdaq Stockholm and is subject to the strictest transparency and security standards. The first Bitcoin ETP in Europe was published in 2015 and the first Ethereum ETP was set up in 2017.
No other ETP provider has more experience than the crypto pioneer. And it even offers you the cheapest fees on the market: 0.35% for CoinShares’ physical BTC and 0% for physical staked Ethereum and indexes. Take advantage of this excellent opportunity today to easily and safely participate in the crypto market in 2024.
For more information, visit the CoinShares brand hub
Sponsored Post
Disclaimer: Sponsored posts are paid articles for the content of which the advertising companies are solely responsible. BTC-ECHO bears no liability for the promised services or investment recommendations. The article is intended solely for information purposes and does not constitute a purchase or sale recommendation. It is neither explicitly nor implicitly to be understood as a guarantee of a specific price development of the financial instruments mentioned or as a call to action. The purchase of securities or cryptocurrencies involves risks that can lead to the total loss of the capital invested. The information does not replace expert investment advice tailored to individual needs. Liability or guarantee for the topicality, correctness, appropriateness and completeness of the information provided as well as for financial loss is neither expressly nor implicitly assumed. Posts marked “Sponsored” or “Advertisement” are published independently by, for example, guest commentators, news agencies and advertising companies. As a result, the content of the contributions cannot be determined by the investment interests of BTC-ECHO or its employees or bodies. The guest commentators, news agencies and companies are not part of the BTC-ECHO editorial team. Their opinions do not necessarily reflect the opinions and views of BTC-ECHO and its employees.
This might also interest you