The launch of new products like 21Shares ETNs is a fantastic approach to modify the paradigm for more conservative investors looking for an extra layer of protection.
The first two Exchange Traded Notes (ETNs) on the Nasdaq Stockholm exchange were issued by 21Shares, one of the largest issuers of digital currency investment products, allowing investors to participate in the burgeoning world of cryptocurrencies. According to the official statement, the underlying assets for the two instruments described are real Bitcoin (BTC) and Ethereum (ETH), the two most popular digital currencies.
The Bitcoin ETP will trade under the ticker symbol “ABTC,” while the Ethereum-based ETP will trade under the ticker symbol “AETH,” according to the business. Both Nasdaq Stockholm products, according to 21Shares, are accessible to trade through most traditional banks and brokers.
“We are excited to become the first issuer of physically-backed crypto ETNs for Nasdaq Stockholm, one of the most tech-forward global exchanges,” said Hany Rashwan, CEO of 21Shares. “Our partnership is a strong endorsement of 21Shares’ mission to make cryptos more accessible in a simple and regulated manner.”
Despite claims that the embryonic asset class is uncontrolled, the digital currency ecosystem has grown due to a strong belief on the part of both retail and institutional investors who acquire cryptocurrencies. The introduction of products like 21Shares ETNs is a fantastic approach to modify the paradigm for more conservative investors looking for an extra layer of protection.
“We are pleased to launch this new segment at Nasdaq Stockholm with 21Shares as the first issuer,” said Helena Wedin, European Head of Exchange Traded Products at Nasdaq. “Exchange Traded Notes provide access to alternative investments while maintaining the transparency of a regulated marketplace, and we are happy to launch this new segment with 21Shares as the first issuer,” said Helena Wedin, European Head of Exchange Traded Products at Nasdaq.
The presence of 21Shares in the crypto ecosystem is also a positive factor in the effective management of ETP products. With the debut of the first cryptocurrency index product on the SIX Swiss Exchange, the firm was among the pioneers of cryptocurrency index providers. Cutting-edge research and ground-breaking product strategies continue to fuel the company’s cryptocurrency business.
Exchange-Traded Products and Notes (ETPs) are on the rise
While Europe is at the forefront of the development of Exchange Traded Notes, numerous other nations are starting to create places for similar products as they search for alternative crypto products has gained traction in the last year. With crypto-linked Exchange Traded Funds reportedly listed on their public bourses in Canada and Brazil, the idea that digital currency interest is now worldwide is further entrenched.
The Securities and Exchange Commission (SEC) allowed the Bitcoin Futures ETF sponsored by ProShares to begin trading on the New York Stock Exchange in October, bringing the United States into the fold. Though a true Bitcoin ETF is still a long way off, market participants are more confident that the present regulatory body is now more open to digital currency ecosystem innovation.
With most authorities across the globe now taking crypto rules seriously, the likelihood that these regulated investment products will pervade most public bourses in the near future remains strong, which will bode well for the crypto ecosystem.