The National Bank of Bahrain (NBB) has launched the first bitcoin-linked structured investment product in the GCC. This product was developed in partnership with ARP Digital. It is specifically designed for accredited investors seeking exposure to Bitcoin’s long-term growth and ensures their capital is protected.
The new product enables investors to profit directly from Bitcoin’s price appreciation but with a predefined maximum profit. However, it also provides a 100% capital guarantee on the downside. This helps to guarantee that the principal investment is protected from market fluctuations. The fact that it is accompanied by the possibility of growing big makes it even more appealing to conservative investors.
NBB Expands Wealth Management Portfolio with Bitcoin Investment Option
Hisham AlKurdi, Group CEO of Markets & Client Solutions at NBB, emphasized the importance of this launch. He said that this investment product combines the trend of investing in cryptocurrency with the security of investing in traditional financial instruments. This is in line with NBB’s strategic plan to diversify its wealth management portfolio and capture changing market demand. It also underlines the fact that NBB is at the forefront of banking and financial development in the region.
This product seeks to satisfy investors’ increasing need to be exposed to Bitcoin while protecting them from its high volatility. It offers a fairly good investment opportunity as it restricts good returns and preserves the principal. This is especially good news for investors who are interested in expanding their portfolios without much risk involved.
ARP Digital’s co-CEO, Abdulla Kanoo, also echoed the sentiment. He thinks that cooperation with NBB is a breakthrough in the regional market. It provides the opportunity to invest in digital assets securely while using ARP Digital’s experience and NBB’s well-established positions in the financial market.
Dalal Buhejji, Executive Director at the Bahrain Economic Development Board, welcomed the event. She said it gives an insight into the growth of Bahrain financial services industry and its position as a fintech place. The collaboration shows how Bahrain is integrating conventional financial processes and the blockchain approach to enable new investment models.
Lastly, NBB’s new bitcoin-linked investment product gives accredited investors an opportunity to invest in Bitcoin without directly holding it. It combines a capital protection principle and limited returns, providing a new kind of investment in digital assets.
