DDA Lists Bitcoin Macro ETP on Xetra

The Bitcoin Macro exchange-traded product (ETP) has been listed on the Deutsche Börse Xetra platform by Deutsche Digital Assets (DDA), a German crypto and digital asset firm.

The ETP currently trades under the ticker symbol “BMAC” and has a total % expense ratio of 2.00%. It modifies its Bitcoin exposure by macroeconomic factors.

The “DDA Bitcoin Macro ETP” is a product supported by a basket of crypto assets held in an institutional-grade custody solution with Coinbase Custody.

Taking Advantage of Market Volatility

The ETP is “optimizing its Bitcoin exposure and enhancing long-term risk management by utilizing key macroeconomic factors” and provides a systematic exposure to BTC and USDC.

“Many retail and institutional investors are apprehensive about investing in cryptocurrencies due to the volatility and drawdowns,” stated Marc des Ligneris, the director of quantitative strategies at DDA.

“We aim to provide a variety of smart beta strategies that will allow them to manage their risk more efficiently over the long term and gain exposure to cryptocurrencies.

The initial strategy DDA has launched reduces its exposure when the most significant macroeconomic factors negatively impact the Bitcoin price,” Ligneris adds.

ETFGI, an independent research firm, reports that in May, crypto exchange-traded funds (ETFs) and ETPs listed globally experienced inflows of $2.2 billion. This brings the year-to-date net inflows to a total of $44.50 billion.

Issuers Launching Crypto ETFs, ETPs Rises

The global listing of Crypto ETFs and ETPs is on the rise. In June, ETFGI reported that the sectors had 208 products, 551 listings, and $82.27 billion in assets, all listed on 20 exchanges in 16 countries by 47 providers.

Apex Group and Figment Europe Ltd, a provider of institutional staking infrastructure, listed two crypto ETPs on the SIX Swiss Exchange earlier this year.

Crypto product providers have reported unprecedented demand for crypto ETPs, which continues to challenge institutions to purchase crypto and stake it directly. During the most recent crypto bear market, numerous ETPs were subject to closure.

For instance, 21Shares, an ETP provider, began delisting its Terra ETP and terminating five other crypto ETPs in March 2023 due to inadequate investor demand. These ETPs had been operational for less than one year.

European Market Leads the Way With ETPs

The U.S. Securities Exchange Commission (SEC) authorized nearly a dozen spot Bitcoin ETFs earlier this year, leading to a trading frenzy and bull market.

European issuers have effectively listed numerous cryptocurrency ETPs, exposing investors to Bitcoin and Ethereum. CoinShares, 21Shares, WisdomTree, ETC Group, Valour, and Fidelity are among Europe’s most prominent crypto ETP providers.