21Shares has received the approval of its 21Shares Bitcoin ETP (ABTC) and 21Shares BOLD ETP (BOLD) from Saudi scholars.
The firm writes that amidst sustained interest from Saudi investors, the recent Shariah compliance of the BOLD ETP is significant in that the product is at the forefront to become Saudi Arabia’s first hybrid product. Rebalanced monthly, BOLD has a 25:75 bitcoin to gold ratio, offering investors exposure to the traditional value of gold with the return rates of bitcoin.
In the context of inflationary pressures, and heightened geopolitical risk, the products represent important risk and return diversifiers within both private and institutional portfolios, the firm says.
As regional financial centres compete to provide the latest financial services products, 21Shares’ announcement is an important step in the company’s Saudi market entry, it says. Under Vision 2030 Saudi Arabia is working to transform its financial services industry highlighted by increased digitalisation across the economy and the widespread adoption of blockchain.
Ahead of the upcoming Future Investment Initiative, co-founder and CEO Hany Rashwan says: “Saudi Arabia presents exciting new market expansion opportunities for us. This milestone reflects our unwavering commitment to operating within the highest regulatory standards and providing a secure and transparent platform for our clients. Our tailored crypto investment solutions will resonate with Saudi investors. We look forward to partnering with local financial institutions, fostering trust, and contributing to the Kingdom’s thriving fintech ecosystem.”