Swissquote Bank is now offering an investment product aimed at giving investors access to bitcoin but without the associating risk due to the asset’s volatility called a certificate. The certificate is an exchange-traded investment vehicle that is somewhat like a futures contract, but open-ended.
Swissquote and Bitcoin
The idea behind it is that a machine learning based algorithm takes advantage of price trend data and social media sentiment to predict price rises and falls. It then takes this information to making buying and selling decisions, in an attempt to maximize profits for investors, and shield them from massive downswings in price.
Swissquote is not new to bitcoin and cryptocurrency. The company has offered shares in bitcoin much like an exchange-traded product. The company claims that the service keeps buyers protected from hacking, and does not require any technical skills to set up a wallet. However, they do charge a fee for their service, and buyers can not directly transfer BTC in or out. Transaction fees for their service range from 0.5 percent to one percent depending on volume.
The company has also stated that they intend to support other cryptocurrencies in this way some time “at a later date.” […]