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3iQ predicts that 2022 will see continued growth in bitcoin and ether as they continue to expand into mainstream adoption.
Thinking back to 2021, I think we can all agree that it was a pivotal year for digital assets: the market value of bitcoin and ether has hit all-time highs, non-fungible tokens (NFTs) have brought in over US $ 23 billion in transaction volume (and has become the Collins Dictionary Word of the Year for 2021), and a growing number of institutional and retail investors are interested in (and investing) in applications based on the blockchain.
It has been an exciting year for 3iQ Corp. (3iQ) as we surpassed more than $ 3 billion in assets under management in our closed-end funds (CEFs) and exchange-traded funds (ETFs). The company is now the largest digital asset fund manager in Canada, managing five separate products that hold true crypto-assets such as bitcoin and ether.
We kicked off the year with the launch of the 3iQ CoinShares Bitcoin ETF in March and the 3iQ CoinShares Ether ETF in April. 3iQ was the first Canadian investment fund manager to offer a bitcoin public investment fund and an ether public investment fund, both in 2020 â and the launch of ETFs in 2021 was another milestone in our path. mission to provide investors with exposure to digital currencies in funds. We continue to be delighted with the demand for our ETFs (and their performance) since their launch.
In addition to fund launches, 2021 also saw 3iQ launch the first phase of its international expansion plans, starting with the Middle East. We listed the Bitcoin Fund on the Nasdaq Dubai in June 2021, the first publicly traded digital asset investment fund in the MENA region. It was a great pleasure and an honor to ring the opening bell at Nasdaq Dubai to celebrate this historic moment!
We’re not stopping there – we plan to launch new products in the Middle East throughout 2022. 3iQ has additional plans to launch in other jurisdictions – our vision is that our funds and ETFs trade 24 hours a day. 24, 7 days a week, much like cryptoassets. in which the funds invest.
The growth and expansion of 2021 has also been seen in the size of our business. 3iQ now employs more than 40 people around the world. This is a significant change from the company’s handful of employees the year before. We added to our team to propel us faster, with more focus and a continuous and fearless approach to innovation.
While 2021 was already a bullish year for crypto-asset returns in general, we continue to be incredibly bullish for 3iQ and global crypto-asset investors for the year ahead. 3iQ predicts that 2022 will see continued growth in bitcoin and ether as they continue to spill over into mainstream adoption around the web 3.0 ‘true ownership’ narrative. Additionally, we expect further institutional adoption of bitcoin as an alternative store of value or inflation hedge for those looking to increase their returns on investment in 2022.
Beyond Coins, we predict that 2022 will usher in continued growth and expansion for DeFi (Decentralized Finance), DAO (Decentralized Autonomous Organizations), and NFT initiatives. The past year has been a watershed moment – going forward, the world will continue to host the powerful applications that have been made possible by technological breakthroughs in blockchain technologies.
Global investment strategies are changing: Institutions are looking for something beyond simple beta strategies. In a world characterized by high inflation and low or negative real interest rates, institutions actively explore strategies that can produce stable and high real returns. We believe that 3iQ is well suited to address these strategies, as a large area of ââinterest is to create structured products suitable for various risk budgets.
Cryptocurrency as an asset class is unprecedented in a number of ways: strong beta momentum in both bullish and bearish markets, high volatility, as well as the immediate availability of financial instruments, including futures and contracts. the options. 3iQ focuses on using the unique characteristics of cryptocurrencies to create products with a variety of risk and reward profiles that can potentially fit into any portfolio under all market conditions, ranging from strategies from low risk arbitrage to high yield derivative strategies.
As the largest digital asset fund manager in Canada, 3iQ will continue to expand its product offerings and push innovations with its existing line of ETFs and CEFs. We see ourselves as the catalysts to continue building bridges between traditional finance and the new cryptoasset economy and you can expect 3iQ to continue to dominate in this space – until 2022 and beyond.
The author is President and CEO of 3iQ Corp. The opinions expressed are his own and do not reflect the policy of the newspaper.