Swiss SIX Trade, Switzerland’s principal inventory trade, continues to broaden its crypto merchandise with a brand new Bitcoin (BTC) exchange-trade
Swiss SIX Trade, Switzerland’s principal inventory trade, continues to broaden its crypto merchandise with a brand new Bitcoin (BTC) exchange-traded product, or ETP.
On Jan. 13, SIX launched buying and selling of the BTCetc Bitcoin ETP (BTCE), a brand new crypto ETP product issued by London-based funding agency ETC Group. The newly listed ETP tracks the worth of Bitcoin, offering traders with a brand new technique to get publicity to the world’s largest cryptocurrency. Every BTCE unit supplies holders with a declare on a predefined quantity of BTC.
ETC Group makes a speciality of constructing new digital asset-backed securities and is backed by shareholders like XTX Markets’s enterprise capital arm XTX Ventures and monetary providers agency ITI Capital.
SIX is without doubt one of the world’s largest ETP buying and selling platforms, itemizing a large variety of crypto funding merchandise. After itemizing the world’s first crypto ETP in late 2018, SIX has been actively introducing numerous ETPs together with a number of merchandise backed by 21Shares. In July 2020, SIX listed the Bitcoin Capital Energetic ETP, an actively managed ETP buying and selling BTC towards 14 prime altcoins like Ether (ETH).
An ETP is a sort of safety that’s priced derivatively and trades primarily based on funding instruments similar to a commodity, a foreign money, a share worth, or an rate of interest. Against crypto exchange-traded funds, or ETFs, crypto ETPs are all the time 100% backed by the property they’re monitoring.
Nonetheless, whereas crypto ETPs more and more pop up on exchanges, particularly in Europe, the digital asset trade continues to be ready for the primary crypto ETF.
The crypto neighborhood has made quite a few makes an attempt to launch a crypto ETF lately, with funding administration agency VanEck changing into the primary firm to file for a Bitcoin ETF in July 2018. America Securities and Trade Fee pulled again many ETF efforts, together with two purposes by Gemini founders Cameron and Tyler Winklevoss.
Ultimately, these purposes had been finally dismissed by regulators, lots of whom nonetheless believed that the crypto trade hadn’t sufficiently matured with a purpose to assist an ETF. America Securities Trade has additionally expressed concern over the volatility of crypto property and the difficulty of custody vis-a-vis a Bitcoin ETF.
Regardless of many failed makes an attempt, the crypto trade continues its efforts to checklist a Bitcoin ETF on a serious trade. On Jan. 11, Canadian funding fund supervisor Arxnovum Investments filed a prospectus for a Bitcoin ETF with Canadian securities regulators.