Ethereum ETP Launched by Switzerland’s Largest Stock Exchange

Institutional Crypto


Just over a week after debuting a Bitcoin exchange traded product, SIX Swiss Exchange has released an Ethereum ETP. The all new financial products trading at the number one stock exchange in Switzerland have been released by Amun AG, a digital currency startup situated in crypto-friendly Swiss alpine town of Zug.

Neither the Ethereum ETP reported today or the Bitcoin one launched at the end of last month is a first for SIX and Amun AG, having said that. The startup aided the exchange launch the HODL5 fund– an index of five premier digital assets– at the end of 2018.

Along With Bitcoin, Is Swiss ETP a Sign of Ethereum Going Institutional?

Swiss crypto startup Anum AG and the nation’s biggest stock market, 6, have announced the launch of an Ethereum exchange traded product (ETP) according to the latter’s site. The news comes a matter of days after the exchange very first listed its Bitcoin exchange traded product.

The Ethereum ETP will be noted under the sign AETH. Meanwhile, the Bitcoin one is referenced as ABTC. 6 will charge a 2.5 percent management charge for traders buying and selling either product. Both are also slated to be traded against the US dollar.

SIX Swiss Exchange previously introduced a basket of five significant cryptocurrencies to give financiers exposure to the marketplace without needing technical knowledge of digital asset storage or the risk that it can require. HODL5 is consisted of Bitcoin (BTC), XRP, Ether (ETH), Bitcoin Cash (BCH), and Litecoin (LTC). The percentage included of each in the index represents the relevant crypto’s market share and is changed monthly.

The AETH and ABTC ETPs by SIX should not be confused with ETFs.

Those who keep in mind the launch of 6’s previous exchange traded product last November might remember that there was a great deal of confusion over the difference between an exchange traded fund, like those much-anticipated examples proposed by the Winklevoss Twins and VanEck, and the ABTC, AETH, and HODL5 ETPs offered by 6.

An ETF is an unique kind of ETP. There are currently examples of crypto ETPs even serving the United States market. The Bitcoin Financial Investment Trust by Grayscale Investments is one. Since the SEC or other relevant monetary regulatory body (FINMA when it comes to Switzerland) does not require to approve an ETP, they are easier to create.

Moreover, however, since ETPs for example, those launched by SIX do not need the corresponding approval as those ETFs currently being taken into consideration by the SEC, they are not seen as such a probable catalyst for big sentiment shifts in the Bitcoin and surrounding cryptocurrency markets as “the ETF” is. This is because a thumbs-up ETF would be considered to be approval of the asset class by one of the planet’s biggest financial regulators. Because the SEC’s rulings are typically followed world wide, it would render it most likely that other jurisdictions would adopt similar, crypto-friendly policies moving forward.

Featured Images from Shutterstock.

The post Switzerland’s Largest Stock Exchange Launches Ethereum ETP appeared first on NewsBTC.

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