PANews October 20 news, according to U.S. SEC filings, BlackRock's iShares Trust submitted a registration application on October 19 for the iShares Bitcoin Managed Protection ETF, with the ticker PBIT. The fund aims to provide upside exposure to the iShares Bitcoin Trust ETF (IBIT) and similar Bitcoin exposure, but with a roughly capped upside, while also providing a certain degree of downside protection. Its strategy typically includes purchasing Bitcoin options in three tranches, while selling options to offset the purchase cost (thereby limiting upside gains), and investing in fixed-income products to earn interest income, which is used to hedge option costs and provide downside protection.
BlackRock files for Bitcoin downside protection ETF, linked to IBIT with a capped upside.
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