NBB Launches Bitcoin-Linked Structured Investment with Capital Protection

The National Bank of Bahrain (NBB) has launched a Bitcoin-linked Structured Investment for accredited investors, marking the first of its kind in the Gulf Cooperation Council (GCC) region, reports PaySpace Magazine. This crypto-linked investment product, introduced in partnership with ARP Digital, a firm specializing in OTC trading, wealth management, and asset management, was announced during the Fintech Forward 2024 event at Bahrain Exhibition World.

The product allows NBB clients to gain exposure to Bitcoin (BTC) while mitigating the typical volatility of the crypto market. With a capped return based on Bitcoin's performance and 100% capital protection, this offering provides a secure way to participate in cryptocurrency investments. This launch aligns with NBB's broader strategy to expand its wealth management services, offering clients diverse portfolio options that balance growth opportunities with risk management. It caters specifically to risk-averse investors seeking Bitcoin exposure while safeguarding their principal investment from market fluctuations.

Bahrain, with its proactive regulatory framework and crypto-friendly environment, actively promotes the adoption of innovative financial technologies. Currently, over 15% of companies in Bahrain’s regulatory sandbox are crypto-asset firms, testing new solutions under regulatory oversight.

For investors interested in cryptocurrencies but wary of market risks, NBB’s Bitcoin-linked Structured Investment provides an innovative, safer way to diversify their portfolios.