Deutsche Digital Assets (DDA) has launched a macro bitcoin ETP which adjusts its exposure to bitcoin and USD Coin (USDC) based on macroeconomic factors.
The DDA Bitcoin Macro ETP (BMAC) is listed on Deutsche Boerse with a total expense ratio (TER) of 2%.
BMAC tracks the Compass FT DDA Bitcoin Macro Allocation index which offers exposure to bitcoin and USDC, a ‘US dollar-pegged’ cryptocurrency backed by US dollar-denominated assets held in segregated accounts with US-regulated financial institutions.
The index methodology uses the four biggest macroeconomic factors by extracting a momentum score from the assets most sensitive to each factor.
For example, the methodology takes into account that bitcoin variations are mainly associated with changes in monetary policy in recent times.
Dominik Poiger, chief product officer of DDA, said: "We are excited to announce the listing of BMAC, our first smart beta crypto ETP.
“BMAC represents a truly unique product that is not simply another cryptocurrency wrapped into an ETP but gives investors the upside of bitcoin while trying to protect against adverse macro environments."
DDA launched a crypto exchange-traded product (ETP) tracking the 10 largest cryptocurrencies by market cap in May last year.
