EToro and 21Shares launched a crypto-snarky portfolio.
Retail investors will benefit from the Portfolio’s dynamic strategy.
Institutional products drive market narratives, which is why the move is made.
To build an intelligent portfolio, eToro, a financial asset trading company, has teamed up with 21Shares, the most prominent cryptocurrency exchange-traded products (ETPs) provider.
According to a press release from eToro on April 23, the newly launched 21Shares-Flows aim to equip retail investors with enhanced tools. This approach utilizes creativity and dynamism, offering innovative strategies.
The announcement highlights that the Portfolio leverages monthly flow data from European crypto ETPs. It will include various cryptocurrency assets, enhancing investment opportunities for retail investors.
The world’s biggest cryptocurrency ETP issuer, @21Shares, and we have teamed up to introduce a brand-new cryptocurrency Smart Portfolio. This Portfolio has 25 tokens distributed based on monthly flows into European cryptocurrency ETPs, providing a data-driven and diversified investing approach.
21Shares wants to use a data-driven strategy to make cryptocurrency investments clear and compelling.
We’re thrilled to announce our partnership with @eToro , a global leader in social trading and investing. Together, we’re launching 21Shares-Flows, a Smart Portfolio of 25 tokens including Bitcoin, Ethereum, and exciting new additions like Celestia.
Our shared vision is to make… pic.twitter.com/1rGDx3u9ke
— 21Shares (@21Shares) April 23, 2024
Portfolio to Adapt to Changes in the Market
The 21Shares-Flow comprises twenty-five cryptocurrency assets, including Bitcoin (BTC) and Ethereum (ETH). Additionally, it undergoes monthly rebalancing based on market conditions. This approach aims to adapt dynamically to market shifts. It calculates the proportion of flows using a straightforward formula.
Typically, this involves adding up all of the assets for the month and dividing the amount by all of the market flows. Considering the current market mood, retail investors will receive all features under this rebalancing system. ETPs for Ethereum or Bitcoin adjust to give the asset a higher share as they receive inflows.
eToro Is Seeing New Deals
The CEO of 21Shares, Hany Rashwan, highlighted that both companies will leverage their expertise in Smart Portfolio. This will enable them to offer more advanced cryptocurrency investment options.
This action responds to the ongoing dominance of institutional products and Bitcoin ETFs in investment narratives. Because of an increase in demand for institutional products, the price of Bitcoin has surged this year, hitting a fresh all-time high of over $73,000.
Dani Brinker, head of Investing Portfolio at eToro, emphasized how the collaboration could enhance cryptocurrency market investing. This Portfolio provides investors a unique opportunity to profit from cryptocurrency asset growth systematically. We are excited to provide our users with industry-leading information from 21Shares.
