GSR, a company operating in algorithmic digital asset trading, this week announced that it has officially launched a Bitcoin Accumulator product. Accumulators are a form of financial derivative (or “structured”) product used in the traditional financial markets that are popular in times of high market volatility. This is the first time such a product has been made available to the cryptocurrency market.
This over-the-counter (OTC) structured product is specifically tailored to the hedging requirements of a miner. It enables the investor to sell their BTC daily at above current market levels, earning them an extra yield on their inventory. The daily amount sold and the sale price are fixed upfront, and there is no upfront premium to be paid.
[perfectpullquote align=”full” bordertop=”false” cite=”Rich Rosenblum, Co-Founder of GSR” link=”” color=”” class=”” size=””]“We are focused on innovating and building new products as the market evolves and matures. There is demand for fresh products and services that serve unmet trading needs. We have been able to leverage our experience from traditional financial markets to offer a diverse suite of products that accommodate a variety of clients across the crypto ecosystem.”[/perfectpullquote]
This product is explicitly designed for miners who are accumulating digital assets and dealing with daily price risk. The accumulator helps them in offloading their assets without going through the arduous process of manually selling crypto on exchanges or assuming unnecessary financial risk by attempting to “time the market”.
Founded in 2013, GSR is the original leader in algorithmic digital asset trading, and also a founding member of the Association for Digital Asset Markets (ADAM).