Kuala Lumpur: Malaysia’s leading digital investment platform StashAway expects a portion of its 50,000 customers to explore investment opportunities in the newly launched Bitcoin and Ethereum exchange-traded fund (ETF) offered through its regulated platform.
Wong Wai Ken, country manager of StashAway Malaysia, said that many investors who are skeptical about investing in crypto can now do so with confidence through a regulated fund manager, as the platform provides safe, secure and easy investments in crypto assets. Does.
“We consider the market to be positive for crypto following the re-election of Donald Trump as US President, which bodes well for the growth of crypto.
“Many of our customers have expressed interest in the long-term prospects of major cryptocurrencies like Bitcoin, but are hesitant due to security concerns or the complexities of navigating crypto exchanges. We are now providing them a familiar and safe way to diversify their portfolio by including crypto through a platform they already know and trust,” he said at a media briefing today.
The new leadership of the US Securities and Exchange Commission (SEC) has created a task force to develop a regulatory framework for crypto assets, according to news reports, marking the first major step by Trump’s new administration to change crypto policy. .
Trump, who campaigned on a promise to be a “crypto president,” has promised to reverse an industry crackdown under former President Joe Biden’s SEC, which sued several crypto companies, including Coinbase, opens new tab and Accused Kraken of violating its rules.
The report said the focus of the task force will be to help the SEC draw clear regulatory lines, provide realistic pathways to registration, design sensible disclosure frameworks, and deploy enforcement resources judiciously.
The launch of the Bitcoin and Ethereum ETF by StashAway comes at a key moment in the crypto market, which has been marked by growing institutional adoption as the price of Bitcoin crossed the US$100,000 (RM 444,000) milestone.
With the newly formed US Presidential Administration indicating support for crypto-friendly regulations, investors have shown renewed interest in this new and growing asset class.
Wong said that despite the increased adoption of cryptocurrencies by mainstream and institutional investors, many individuals remain cautious due to the complexities involved, such as the risk of losing funds if the private key to their crypto wallet is lost or compromised. It happens.
Crypto exchanges often have complex fee structures, including trading fees, withdrawal fees, and gas fees, which can fluctuate unpredictably. However, on the positive side, several studies have shown that a small allocation of Bitcoin in a diversified portfolio can increase long-term returns without increasing volatility.
Over the long term, a 5% allocation to Bitcoin in a traditional 60/40 portfolio could enhance returns while improving the risk-to-reward ratio.
To help investors manage their crypto exposure more easily and securely, StashAway is adding Bitcoin and Ethereum ETFs to its flexible portfolio. This existing feature lets clients customize their portfolio from over 70 ETFs across different asset classes. Additionally, investors can create diversified portfolios that include both crypto and traditional assets such as equities, bonds, and gold.
In line with StashAway’s fee structure, Flexible Portfolios offers clear and simple annual management fees ranging from 0.2% to 0.8%, with no lock-in period or minimum investment requirement. For a portfolio containing only one ETF, the management fee is 0.3% per year. The crypto ETFs available in Flexible Portfolios – Fidelity Wise Origin Bitcoin Fund and Fidelity Ethereum Fund – have an annual expense ratio of 0.25%.
