Investment product provider ProShares is set to list the U.S.’s first exchange-traded fund (ETF) allowing investors to bet against the price of bitcoin.
The ProShares Short Bitcoin Strategy (BITI), which is designed to deliver the inverse of bitcoin’s performance, will start trading on the New York Stock Exchange (NYSE) tomorrow, ProShares announced Monday.
The ETF will allow investors to hedge their bitcoin exposure, which may prove particularly pertinent given the sharp downturn in crypto markets of late.
ProShares was the first firm to list a bitcoin futures ETF in October last year, a factor which saw the world’s largest crypto hit an all-time high of around $68,900 in the subsequent weeks. Bitcoin investors will be hoping the listing of a short bitcoin futures ETF does not have a similar effect on the world’s largest crypto in reverse.
Bitcoin’s price dropped below $20,000 for the first time since Dec. 20 on June 18, falling as low as $17,800 the following day.
ProShares applied to list BITI in early April, around the same time as leveraged ETF-provider Direxion filed to list a similar product. As yet there have been no updates on the status of Direxion’s application.
A short bitcoin ETF is also already listed on the Toronto Stock Exchange by Horizons ETFs.
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