eToro, which is a global crypto investment platform, has now revealed the launch of a new product for the crypto investors that will offer access to a sentiment-based portfolio.
Crypto Market Sentiment Investing
According to the press release, which has been shared with the help of a CryptoGlobe, eToro is launching the TIE-LongOnly crypto portfolio for the investors, which is the result of a collaboration with the algorithm-driven firm TheTie. The new portfolio also uses the highly advanced language processing tools to determine the market sentiment towards the wide range of crypto-assets, by mining data from the social media networks and generating an investment algorithm.
TheTIE is leveraging the day to day sway in the crypto markets, which states that: “The value of digital assets is driven by supply and demand, and movement is determined by the wisdom of the crowd.”
Guy Hirsch, US managing director of eToro, said the portfolio’s release would give retail investors access to more powerful tools,
“In traditional markets, retail investors have historically lagged behind the ‘smart money’ when it comes to the data and tools available to them. This puts individual investors at a major disadvantage. In the spirit of crypto and decentralized technology, we believe that offering institutional-grade tools to every investor will level the playing field and democratize investing.”
The analytics firm reports that the scanning of more than 850 million tweets per day to generates their algorithm for the portfolio, which will be allocated to a subset of thirteen crypto assets. The minimum investment in the product is $2000.
The Israeli based social investment platform has had a string of some of the recent announcements in a major push to attract crypto traders and to also help to grow its user base.
“With crypto, the only thing that really moves it is supply and demand, so we set out to develop sophisticated solutions for hedge funds to help value and trade the asset class,” said Josh Frank, chief executive officer of The TIE.
“The end result is that retail investors will have the chance to invest using a strategy that was previously only available to hedge funds,” said Guy Hirsch, US Managing Director of eToro.