In a recent announcement, eToro, a company for trading financial assets, has joined forces with 21Shares, a major issuer of crypto exchange-traded products (ETPs), to introduce a fresh approach to investing in cryptocurrencies.

Named 21Shares-Flows, this new portfolio offers retail investors an array of tools utilizing a dynamic and innovative strategy. It includes various cryptocurrencies and adapts based on monthly insights from European crypto ETPs.

The collaboration aims to enhance transparency and efficiency in crypto investments through data-driven methods. The portfolio consists of 25 crypto assets like Bitcoin and Ethereum, adjusting its composition monthly according to market dynamics.

Using a straightforward calculation, the portfolio determines the allocation of assets based on monthly flows into European crypto ETPs. This ensures that investors benefit from current market sentiments, with assets like Bitcoin and Ethereum receiving a larger share if there are inflows into their respective ETPs.

Hany Rashwan, CEO of 21Shares, emphasized the partnership's goal of providing advanced crypto investment options. The move comes amid a surge in institutional products like Bitcoin ETFs, which have driven the cryptocurrency's price to new highs this year.

eToro's Head of Investment Portfolio, Dani Brinker, expressed optimism about the partnership's potential to enhance crypto investment opportunities. The portfolio offers investors a structured and data-driven approach to capitalize on the growth potential of cryptocurrencies.

In conclusion, the collaboration between eToro and 21Shares introduces a new crypto investment portfolio aimed at providing retail investors with a strategic and transparent approach to cryptocurrency investing.