National Bank of Bahrain Launches Bitcoin-Linked Product: Details National Bank of Bahrain Launches Bitcoin-Linked Product: Details
National Bank of Bahrain has launched the first Bitcoin-linked structured investment product in the Gulf region in collaboration with crypto company ARP Digital.
This product is available exclusively to accredited investors, providing limited exposure to rising Bitcoin prices with full protection from potential declines.
Product Features:
The product offers investors the opportunity to profit from rising Bitcoin prices, but places a certain limit on the possible returns.
In contrast, it claims to provide 100% protection from the risks associated with falling prices, using a hedging strategy known as “collaring,” which involves buying put options and selling call options to offset the costs.
Hisham Al Kurdi, Chief Executive Officer of Markets and Client Solutions at National Bank of Bahrain, expressed his pride in launching this product, noting that it represents a combination of exposure to digital assets and security protection of capital, and comes within the framework of the bank’s commitment to providing innovative solutions for wealth management and diversification of investment portfolios.
National Bank of Bahrain is one of the country’s leading financial institutions, with 55% ownership by government entities such as the sovereign wealth fund Mumtalakat and the General Organisation for Social Insurance.
ARP Digital was founded by a former Goldman Sachs expert.
