A $41B Investment Firm Wants to Stick With Just Bitcoin ETFs as Safer Bet

Earlier this year, Calamos made its crypto debut with the launch of not 1 but 3 funds designed to support investors from the volatility successful bitcoin’s (BTC) price.

But the planetary concern absorption firm, which handles $41.3 cardinal successful assets, is acold from launching immoderate different products beyond bitcoin, — adjacent Ethereum (ETH), said its caput of ETFs Matt Kaufman successful an interrogation with CoinDesk.

Since their inception, Calamos’ protected BTC funds person attracted implicit $100 cardinal from investors, which chiefly see fiscal advisors.

For astir firms looking to marque an entranceway into the crypto market, launching a bitcoin merchandise is conscionable the archetypal measurement successful a agelong travel that rapidly extends to ethereum-based products. BlackRock, for example, applied to motorboat its spot bitcoin ETF (IBIT) successful June 2023 and 5 months later, did the aforesaid for Ethereum (ETH).

“Ethereum doesn’t truly conscionable our criteria for being capable to efficaciously hedge that exposure,” helium said. “It’s not a liquid asset, there’s nary options connected Ethereum ETPs truthful if those cheque boxes commencement to get built, we’ll research it but close present it’s not connected our radar.”

The Calamos Bitcoin Structured Alt Protection ETF (CBOJ), Calamos Bitcoin 90 Series Structured Alt Protection ETF (CBXJ) and Calamos Bitcoin 80 Series Structured Alt Protection ETF (CBTJ) connection investors 80-100% downside extortion with an upside headdress complaint of 10-55%.

This is achieved by utilizing a operation of Treasuries and options connected the CBOE Bitcoin US ETF Index. While Cboe Exchange has filed to database options tied to Ether ETFs, the Securities and Exchange Commission (SEC) successful January delayed its deadline to o.k. oregon contradict the product. The Commission volition person to instrumentality to the last deadline successful May, however.

Another plus people that Calamos won’t apt ever interaction is meme coins, Kaufman said. “We’re a hazard manager, truthful we physique things we cognize volition work,” helium said. “From that perspective, I don’t person immoderate sentiment connected meme coins but it’s not thing I would ever do.”

Kaufman believes that the caller surge successful applications for meme coin ETFs highlights the information that investors person to bash their owed diligence. “We unrecorded successful America, you person to cognize what you own. Freedom gives you prime and with prime comes responsibility,” helium said.