This will be the world’s first multi-crypto ETP, and it’s backed by Swiss startup, Amun AG.
It will be listed under the index HODL, and it’s set to track five major coins: Bitcoin (BTC), Ripple (XRP), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC).
Each token will acquire a particular market share and Bitcoin account5s for half of ETP’s assets and XRO for about 30%.
Amun’s co-founder and chief executive Hany Rashwan said: “The Amun ETP will give institutional investors that are restricted to investing only in securities or do not want to set up custody for digital assets exposure to cryptocurrencies. It will also provide access for retail investors that currently have no access to crypto exchanges due to local regulatory impediments.”
The Amun ETP will be managed by the German index unit of investment management company Van Eck, as revealed by the new agency Finews.com.
Amun’s official website reveals that SIX SwissExchange is the fourth-largest stock exchange in Europe and it boasts a market cap of $1.6 trillion.
The importance of ETPs
ETPs are a type of security that’s priced derivatively and trades intraday on a national securities exchange, based on various investment tools that include commodities, currencies, share price, or interest rate.
ETPs can be actively managed funds including ETFs.
According to more expert opinions, the adoption of Bitcoin ETFs will be a much bigger deal than a simple cash settlement Bitcoin futures contract. In other words, it will be a much more extended basis for the crypto growth.
Recently, the SEC stopped accepting public feedback on their Bitcoin ETFs policy review.
This comes after they rejected nine applications to list and trade various BTC ETFs from three companies, including the following: ProShares, Direxion, and GraniteShares.