Zerocap Launches New Semi-Principal Protected Crypto Structured Product
Zerocap Overview
- Zerocap is an Australia-based institutional digital asset firm founded in 2018.
- Provides OTC, market making, derivatives, and crypto custody services.
- Partners include ANZ Bank and the Reserve Bank of Australia.
- Serves clients in over 50 countries.
New Product Launch
- Zerocap launched a semi-principal protected product linked to the CoinDesk 20 Index (CD20).
- Offers upside exposure with a principal protection limiting downside risk to 5% and potential returns up to 40%.
- Targets family offices, high-net-worth individuals, and investors seeking diversified crypto exposure.
Market Trends
- Structured products are evolving due to increased demand for hedging solutions as more participants hold structural positions.
- ETFs introduce new investors to crypto, leading them to explore structured products for better returns or risk management.
- Asia favors auto-call structures, while the U.S. and Europe adopt more conservative approaches.
Future of Digital Assets
- Transition from trading vehicles to long-term investments will depend on clear value propositions from protocols and tokens.
- Bitcoin has established itself as digital gold; Ethereum's long-term value remains debated.
- Tokenization may enhance the intersection of DeFi and traditional structured products.
Notable Requests
- Zerocap has received unique requests, including trading options on unconventional assets like FARTCOIN.