tl;dr
A new batch of Bitcoin ETFs, starting with Calamos' "Protected Bitcoin ETF," aims to offer investors 100% downside protection against Bitcoin's price with limited upside potential. Calamos' ETFs will be listed on the Cboe, with the 100% Protected Bitcoin ETF set to debut at a price of $25. Additiona...
Calamos is set to introduce a "Protected Bitcoin ETF," providing 100% downside protection but with limited upside potential. This offering is designed to attract risk-averse investors and financial advisors.
The new batch of Bitcoin ETFs, including options with 80% and 90% downside protection, will utilize a risk management framework involving U.S. Treasuries and flex options on the CBOE Bitcoin US ETF Index.
Calamos' ETFs, which will debut on the Cboe, aim to appeal to a broader investor demographic beyond the typical age of crypto enthusiasts, offering customizable safety nets.
Calamos' "Protected Bitcoin ETF" will debut at a price of $25, providing investors with 100% downside protection against Bitcoin's price and limited upside potential. Additional ETFs with 80% and 90% downside protection will also be launched.
These products aim to appeal to a broader range of investors, including those with lower risk tolerance, as Bitcoin's volatility has deterred many market participants from participating in the asset's significant drawdowns.
Spot Bitcoin ETFs debuted in the U.S. last year, gaining $36.2 billion in net inflows, but some analysts believe that registered investment advisors and wirehouses are still warming up to such products.
Calamos will launch additional ETFs with 80% and 90% downside protection against Bitcoin in two weeks, catering to a professional investment crowd and potentially attracting investors beyond the typical age of crypto enthusiasts.