▾ G11 Media Network: | ChannelCity | ImpresaCity | SecurityOpenLab | Italian Channel Awards | Italian Project Awards | Italian Security Awards | ...
InnovationOpenLab

CSOP Bitcoin Futures Daily (-1x) Inverse Product (7376.HK) to list on Hong Kong Stock Exchange Tomorrow

Following the successful launch of Asia’s first Bitcoin futures ETF, the CSOP Bitcoin Futures ETF (3066.HK) in December 2022, CSOP is set to list Asia’s first Bitcoin futures inverse product in Ho...

Business Wire

HONG KONG: Following the successful launch of Asia’s first Bitcoin futures ETF, the CSOP Bitcoin Futures ETF (3066.HK) in December 2022, CSOP is set to list Asia’s first Bitcoin futures inverse product in Hong Kong on July 23, 2024. The CSOP Bitcoin Futures Daily (-1x) Inverse Product (7376.HK) aims to provide investment results that, before fees and expenses, closely correspond to the one-time inverse daily performance of the S&P Bitcoin Futures Index (the “Index”). 7376.HK adopts a futures-based replication strategy to achieve the investment objectives, investing directly in the spot month CME Bitcoin Futures following a rolling strategy. With a listing price of about HKD 7.8 per unit, trading lot of 100, and management fee of 1.99%, 7376.HK has received an initial investment of around 30 million US dollars.

Bitcoin has been the most erratic among major global assets in the last ten years, with volatility as high as 38.3% in 2023, surpassing crude oil and Nasdaq-1001. With no intrinsic value, its price is highly volatile and speculative, influenced by market demand and supply, as well as market news and rumours. During the rally in 2024Q1, global futures-based bitcoin inverse products had the highest quarterly inflow of USD 79 million since 2023Q22. As of end of June 2024, Bitcoin CME futures saw a record high in net short interest among leveraged funds, at about USD 5.7 billion, likely due to a growing popularity of basis trade3. When market reels, bitcoin drawdown could be even more prominent, suggesting more chances for short trades. Bitcoin price might also be affected by uncertainties amid the US presidential election, supply overhang, and Fed’s monetary policy.

The Index tracks the performance of the nearest maturing monthly Bitcoin Futures contracts (Symbol: BTC) trading on CME. The Index is a price weighted, excess return (and not a total return) index and therefore reflects the CME Bitcoin Futures price movements only (and not any notional interest earnings) in USD. Instead of directly participating in the bitcoin futures market to short bitcoin, 7376.HK offers an easy and efficient way to capture investment opportunities brought by the decline in the price of bitcoin futures.

Ms. Ding Chen, CEO of CSOP Asset Management Limited, is delighted to announce the listing of CSOP Bitcoin Futures Daily (-1x) Inverse Product (7376.HK). She remarks, "As an ETF issuer esteemed by investors in the APAC region, CSOP has always aimed to offer comprehensive and diversified investment products. We are currently the leading provider of Leveraged and Inverse products in Hong Kong, with a market share of 99%4. The first futures-based inverse bitcoin product listed in Hong Kong creates opportunities for investors to gain from downside movements in bitcoin."

About CSOP

CSOP is a leading ETF issuer in Hong Kong SAR, with a wide range of product offerings across equity, fixed income, leveraged and inverse, thematic, money market, and virtual assets. In Q1 2024, 5 out of 10 of the most traded ETFs on the Hong Kong Stock Exchange are CSOP-issued products*. Innovation and leadership are deeply rooted in CSOP’s DNA as we strive to bring first-of-its-kind products to the market, educate investors about ETF trading, and never stop looking for ways to improve trading efficiencies.

CSOP’s commitment to cross-border initiatives and collaborations is unwavering. we are the only product issuer participating in all the ETF connectivity programs between mainland China and Hong Kong SAR, capturing an 69.08% market share of the aggregate southbound AUM**, as well as the first issuer to participate in the China – Singapore Cross-border ETF Link Scheme.

* Source: 2024/01/01-2024/03/28, Bloomberg.
** Source: HKEX, SZSE, SSE, Bloomberg, as of 2024/06/28.

Disclaimer

The products of CSOP Asset Management Limited (“CSOP”) mentioned in this document are authorized by the Securities and Futures Commission ("SFC") in Hong Kong. Such authorization does not imply any official recommendation by the SFC. This document and the information contained in it are for general information only and do not constitute financial, professional, investment or any other kind of advice in any way. Investment involves risk. Investors should not base on this document alone to make investment decisions. CSOP recommends investors to obtain and read a copy of the offering documents for detailed information (including risk factors) before investing. CSOP does not warrant the accuracy, reliability, timeliness, completeness or reasonableness and CSOP shall not be liable for any loss, damage or expense incurred directly or indirectly as a result of the use of and/or reliance upon the whole or any part of the information in this document. This document is not applicable in jurisdictions where the distribution of this material is restricted. The product is only available in jurisdictions where it can be lawfully provided. For the Index Provider Disclaimer, please refer to the Product’s offering document. This document is prepared by CSOP and has not been reviewed by the SFC.

CSOP Bitcoin Futures Daily (-1x) Inverse Product (the “Product”) is a sub-fund of CSOP Leveraged and Inverse Series, an umbrella unit trust established under Hong Kong law. Units of the Product (the “Units”) are traded in HKD on The Stock Exchange of Hong Kong Limited like stocks.

  • This product primarily invests in short positions of CME Bitcoin Futures whose price movement may deviate significantly from the spot price of bitcoin. This product does not seek to deliver a daily return of the inverse performance of spot bitcoin.
  • This product is not intended for holding longer than one day as the performance of this product over a longer period may deviate from and be uncorrelated to the inverse performance of the Index over the period
  • This is an inverse product. It is different from conventional exchange traded funds as it seeks inverse investment results relative to the Index and only on a daily basis.
  • Investments linked to bitcoin can be highly volatile compared to investments in traditional securities

Please note that the above listed investment risks are not exhaustive, and investors should read the Prospectus and the Product Key Facts for further details (including the full list risk factors) before making any investment decision.

Issuer: CSOP Asset Management Limited

1 Source: Bloomberg, 2023/01/01-2023/12/31
2 Source: Bloomberg, as of the end of 2024Q2
3 Source: Bloomberg, as of 2024/07/09
4 Source: Bloomberg, 2024/01/01 – 2024/03/28

Fonte: Business Wire

If you liked this article and want to stay up to date with news from InnovationOpenLab.com subscribe to ours Free newsletter.

Related news

Last News

RSA at Cybertech Europe 2024

Alaa Abdul Nabi, Vice President, Sales International at RSA presents the innovations the vendor brings to Cybertech as part of a passwordless vision for…

Italian Security Awards 2024: G11 Media honours the best of Italian cybersecurity

G11 Media's SecurityOpenLab magazine rewards excellence in cybersecurity: the best vendors based on user votes

How Austria is making its AI ecosystem grow

Always keeping an European perspective, Austria has developed a thriving AI ecosystem that now can attract talents and companies from other countries

Sparkle and Telsy test Quantum Key Distribution in practice

Successfully completing a Proof of Concept implementation in Athens, the two Italian companies prove that QKD can be easily implemented also in pre-existing…

Most read

NiCE Unveils 2025 International CX Excellence Award Winners, Spotlighting…

#AI--NiCE (Nasdaq: NICE) today announced the winners of its 2025 International CX Excellence Awards, honoring organizations from across EMEA and APAC…

Taiwan Prepaid Card and Digital Wallet Market Databook 2025: Prepaid Card…

The "Taiwan Prepaid Card and Digital Wallet Market Intelligence and Future Growth Dynamics Databook - Q2 2025 Update" report has been added to ResearchAndMarkets.com's…

AI Strengthening Cybersecurity Software, ISG Says

$III #AI--Growing and evolving security threats make it increasingly important for enterprises to deploy advanced cybersecurity software and to understand…

Mitsubishi Electric’s ME Innovation Fund Invests in AI-assisted PLM Systems…

Mitsubishi Electric Corporation (TOKYO: 6503) announced today that its ME Innovation Fund has invested in Things, Inc., a Japan-based startup that develops…

Newsletter signup

Join our mailing list to get weekly updates delivered to your inbox.

Sign me up!