Bitget Will Officially Launch ETF Spot Product
Victoria, Seychelles, March 21, 2023, Bitget is proud to announce the launch of spot ETF products on our platform. Users can trade these new products on both our web and app.
What are spot ETF products?
Bitget spot ETFs are composed of a bundle of cryptocurrencies that are representative of popular sectors. There is typically a correlation between these currencies which can reflect changes in the market conditions, their class of assets, or sector. Spot ETFs let users understand the direction of the market more clearly, and reduce exposure to any one asset by diversifying the portfolio. Trading spot ETFs can give investors a simpler and more intuitive trading experience, reducing the time and resources spent analyzing hundreds of thousands of coins and tokens in the industry.
Spot ETFs inherit most of the usual functions and rules of any spot product traded on our platform. However, unlike other spot products, our spot ETFs can only be traded on the Bitget platform and exchange. As such, you won’t be able to deposit, withdraw or transfer Bitget spot ETFs from Bitget.
The first phase of Bitget’s spot ETFs starts with the much-anticipated ARBETF product. ARBETF is designed to track the price trends of popular assets within the Arbitrum ecosystem, letting users quickly access these tokens and capitalize on Arbitrum’s market sector changes against the general cryptocurrency market. ARBETF is currently composed of four currencies, including GMX (40%), MAGIC (30%), RDNT (5%), and GNS (25%), with varying weight allocations proportional to their market caps. In the future, in line with the development of the Arbitrum ecosystem, the ARBETF composition and weighting will be adjusted in real-time.
Trade spot ETFs
A note on settlements
Traders can sell and settle their spot ETFs at any time. To protect the rights of users that hold spot ETFs, the platform will provide sufficient liquidity for the ETFs in stablecoin. For spot ETFs about to be delisted, traders can exchange the ETF for stablecoin. It’s also possible to hold the spot ETF until it’s delisted. When it’s taken off the shelf, Bitget will automatically settle any spot ETFs held by the user. The settlement formula is the arithmetic average of the transaction price one hour before delisting.
For example, if XXETF/USDT is delisted on December 31, 2023, at 6 PM (UTC+8), users who have yet to sell their XXETF will have the sale automatically carried out between 5 PM and 6 PM (UTC+8). The arithmetic average of the transaction price that occurred within the hour is used to obtain the price for all ETF settlements.
Overall, spot ETFs at Bitget will have sufficient security guarantees, with the guarantee that they can be converted into stablecoin for users to ultimately deposit, transfer or withdraw.
Disclaimer: The information provided here pertaining to any cryptocurrency is for general informational purposes only and is not an offer to sell or a solicitation of an offer to buy any cryptocurrency, and should not be construed as any offering documents of any kind. The information above should not be relied upon as advice to buy or sell or hold any cryptocurrency and should not be considered as any investment advice or opinion. Bitget makes no representation or warranties, expressed or implied, as to the accuracy of the information. Bitget expressly disclaims any and all liability that may be based on such information or errors or omissions thereof. Trading in cryptocurrency is a high-risk investment which involves substantial risk, including but not limited to market risks, cybersecurity risks, liquidity risks, regulatory risks, etc. Investors are recommended to consult their own advisors before investing.
Join Bitget, the World’s Largest Crypto Copy Trading Platform.
To learn more about Bitget, please visit https://www.bitget.com.
Download the App – Playstore, App Store
For more information about Bitget, visit: Website | Twitter | Telegram | LinkedIn | Discord
ZEX PR WIRE
Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Economy Port journalist was involved in the writing and production of this article.