World’s first exchange-traded product(ETP), which will be tracking multiple cryptocurrencies will be listed by a significant stock exchange of Switzerland that is called ‘SIX’.
The Swiss startup named Amun AG supports the ETP expected to be listed. It will be listed under index HODL and will track five major cryptocurrencies: Bitcoin (BTC), Ripple (XRP), Ethereum (ETH), Litecoin (LTC), and Bitcoin Cash (BCH).
Reportedly, each cryptocurrency will get a particular market share in the upcoming ETP. Also, it will have half of its assets invested in Bitcoin (BTC), while the rest are set to be shared between Ripple (XRP), Ethereum (ETH), Bitcoin Cash (BCH) and Litecoin (LTC).
The approval by SIX clearly elaborates that the company’s ETP would be eligible for listing on the exchange. Additionally, the Amun ETP index will be handled by the German index unit of investment management firm VanEck.
On this, Amun’s co-founder and chief executive Hany Rashwan stated in the report that the ETP would fulfill the same standards required by other “traditional exchange-traded products widely used by investors.”
He added that “Amun’s EUN will offer institutional investors limited to investing only in securities or will not want to establish custody for the exposure of digital assets to cryptocurrencies; it will also provide access to retail investors who currently do not have access to trade crypts due to local regulatory impediments.”
With that, Rashwan unveiled that the firm intends to launch “an index basket ETP first”, which would make it easy for investors to ‘buy the market’ instead of trading specific crypto assets. He also said, “We believe Switzerland to be the best jurisdiction for our base and intend, after launching our initial products on the SIX Swiss Exchange, to both, launch additional products as well as dual-list across additional geographies and stock exchanges.”
Notably, the Swiss regulators have reached ahead of the U.S., when it comes to agreeing for the ETP.