The National Bank of Bahrain (NBB) has introduced the first bitcoin-linked structured investment product in the Gulf Cooperation Council (GCC), a significant milestone for the region’s financial sector. Developed in collaboration with ARP Digital, this innovative product was unveiled during the Fintech Forward 2024 event.
The structured investment is exclusively available to accredited investors, offering them exposure to bitcoin’s long-term growth while providing capital preservation. Investors can benefit from bitcoin’s performance up to a capped threshold, with 100% capital protection on the downside, mitigating the volatility associated with digital currencies.
Hisham AlKurdi, Group Chief Executive for Markets & Client Solutions at NBB, highlighted that this product blends digital asset exposure with secure capital protection, reflecting NBB’s commitment to innovation in wealth management. He said:
We are proud to introduce this bespoke structured investment, which blends the appeal of digital asset exposure with the security of capital protection.
“This product underscores our focus on offering our wealth management clients innovative and secure avenues to diversify their portfolios in an evolving investment landscape. It is a testament to NBB’s continued leadership in financial innovation within the region,” he added.
Abdulla Kanoo, co-chief executive officer at ARP Digital, added that this partnership introduces a secure framework for regional investors interested in digital assets. The product aligns with NBB’s broader strategy to expand its offerings, providing risk-averse investors with a balanced solution.
“Our collaboration with NBB is poised to be a game-changer in the regional market. By leveraging our expertise in digital assets and NBB’s extensive reach in the financial sector, we have created a product that introduces Bitcoin exposure within a highly secure framework,” he noted, adding:
This structured investment opens new doors for investors seeking a calculated approach to digital assets.
Dalai Buhejji, Executive Director at Bahrain Economic Development Board, praised the initiative as a key example of Bahrain’s strength as a fintech hub, showcasing the potential for combining traditional finance with blockchain solutions.
