- New ETNs offer easy access to the performance of cryptocurrencies with physical backing
- Central clearing offers reduced risks and settlement efficiencies
From today, Exchange Traded Notes (ETNs) issued by 21Shares and ETC Group on the cryptocurrencies Ethereum and Bitcoin Cash are available to investors on Xetra for the first time. With this move, Deutsche Börse is expanding its range of innovative, centrally cleared crypto ETNs.
The new products are physically backed and listed on the Regulated Market of the Frankfurt Stock Exchange.
New ETNs offer access to the cryptocurrencies Ethereum and Bitcoin Cash with physical collateralization as well as reduced settlement risks, issued by by @21Shares_ and @ETCGroupLLC https://t.co/kj1EgEBcyY pic.twitter.com/wq24TCIikP
— Xetra (@Xetra) March 9, 2021
“Cryptocurrencies are a rapidly growing market segment. With the expansion to Ethereum and Bitcoin Cash, we are now offering further investment opportunities to trade crypto products efficiently in a regulated on-exchange environment. This means investors no longer have to turn to unregulated crypto venues or set up their own crypto wallets,” says Stephan Kraus, Head of Deutsche Börse’s ETF segment.
“Central clearing of the products significantly reduces the settlement risks and thus enables many professional investors to invest in crypto products,” says Kraus. The clearing will be handled by Eurex Clearing, Deutsche Börse Group’s central counterparty.
Last June, Deutsche Börse launched the world’s first centrally cleared Bitcoin ETN on Xetra. The product has been heavily traded by both private and institutional investors and was recently the highest-volume product in the ETF & ETP segment on Xetra for some days.
The product offering in Deutsche Börse’s ETF & ETP Segment currently comprises a total of 1,639 ETFs and 202 ETCs and ETNs. With this selection and an average monthly trading volume of around €16.5 billion, Xetra is the leading trading venue for ETFs and ETPs in Europe.
Source: Deutsche Börse
First Ethereum cryptocurrency ETP lists on Deutsche Börse’s XETRA today
We are delighted to announce the launch of the ETC Group Physical Ethereum ETC (ticker: ZETH) on Deutsche Börse’s XETRA platform today (Tuesday 9th March).
The ETC Group Physical Ethereum ETC (Ticker: ZETH) is an exchange traded cryptocurrency that tracks the price of Ethereum’s Ether coin and is listed on Xetra, one of the largest exchanges in Europe, providing investors with a secure and liquid way to gain exposure to the Ether cryptocurrency. ZETH will be the first Ethereum product to be central counterparty cleared globally.
ZETH is issued by ETC Group and marketed and distributed by HANetf.
Why Invest?
An easier way to invest in Ether
Investing in ZETH is as simple as buying shares through your broker or bank. Unlike investing directly in Ether, there is no need to engage with the technical challenges of setting up a cryptocurrency wallet to store Ether* as your units of ZETH are safely held with your broker or bank. *Investors only need a cryptocurrency wallet if they want to redeem for Ether
Invest in Ether on a regulated exchange
ZETH’s primary listing is on XETRA, one of the largest exchanges in Europe. Investors can trade with confidence knowing that all market participants are strictly vetted and carefully monitored to prevent market abuse unlike cryptocurrency exchanges, many of which are unregulated. The issuer has partnered with world-class liquidity providers to ensure ample on exchange liquidity and tight spreads.
Safe Custody
The issuer stores the Ether with BitGo Trust Company, a secure, regulated custodian, purpose built for holding digital assets. Strict KYC and AML standards ensure that the provenance of all cryptocurrency in custody has been vetted.
Risks
The value of your investment may go down as well as up and past performance is no indication of future performance. Cryptocurrencies can be highly volatile and your capital is at risk.
Source: ETC Group
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