Aqumon’s Smart GlobalX ETF is launching today and will the first smart Bitcoin ETF in Asia. The ETF is launching in response to an increase in demand by investors looking to diversify their portfolios and get some crypto exposure. This is according to a report from Forkast.
Aqumon, a Hong Kong-based wealth manager, has stated that this ETF would target Asian clients seeking diversification in Bitcoin assets adjusted to market risks.
The Smart GlobalX is a response to changing market needs. Since the crypto rally started, traditional investors have been looking to get involved in this market. This has been triggered by a decline in the assets an investor can diversify into with the conventional markets.
This became most evident since the COVID-19 pandemic started. Per Aqumon CEO Kelvin Lei, the rush towards Bitcoin is a revolutionary wave.
Traditionally, Gold and Bonds have been the go-to assets in times of market downturns. However, these two markets are now heavily correlated to the stock markets. This means they are likely to correct alongside the stock markets.
In 2020, the leading crypto asset defied this trend and went on test new highs. Bitcoin plunged in March 2020 alongside the rest of the market but went on to rally by over 1000% to a high of $64k. This made more investors want to have some exposure, even if it’s just a tiny one, to the crypto king.
To better take care of the needs of such investors, Aqumon has stated that its smart ETF will give investors exposure to regulated ETFs in Canada.