World’s First Crypto ETP Gets Go-ahead In Switzerland
The Swiss Exchange gave the go-ahead to an exchange-traded product tracking multiple cryptocurrencies.
The Swiss regulators have agreed to give a go-ahead oder to the Amun Crypto Exchange Traded Product (ETP).
According to the reports, the Amun Crypto ETP will have half of its assets invested in Bitcoin (BTC), while the other half will be shared between Ripple (XRP), Ethereum (ETH), Bitcoin Cash (BCH) and Litecoin (LTC).
ETPs are derivative investments that are traded on securities exchanges, valued on the basis of a commodity or in the case of the Amun Crypto ETP, the benchmark would be cryptos. The approval from the SIX Swiss Exchange is a notable event as no exchange-traded product exist anywhere including in the United States.
Hany Rashwan, Amu CEO and co-founder stated in the report that the exchange-traded product would meet the same standards required by other “traditional exchange-traded products widely used by investors.”
“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.”
On why the company chose Switzerland as its base, Rashwan 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.” Going further, Rashwan revealed the company plans to launch “an index basket ETP first,” which would make it simple for investors “to ‘buy the market’ rather than trade specific crypto assets, though we plan on launching specific trackers for each asset in the future too.”