While everyone is focused on the SEC (Securities and Exchange Commission) within the United States to pass the first BTC (Bitcoin) ETF, the regulators from Switzerland may have taken the center stage. Based on reports coming from Switzerland, SIX Group, the major Swiss stock exchange has been given the go-ahead to list its very first cryptocurrency-based ETP by next week.
Switzerland Takes a bold step in the Bitcoin ETF/ETP Race
As Bitcoin prices hit a record low in the year, Swiss regulators leveraged on the opportunity to keep the market alive by introducing the Amun Crypto ETP, (the world’s first crypto-based exchange-traded product) which will be traded on the SIX exchange platform in Zurich by next week. The Amun Crypto ETP was designed to keep track of an index which is based on the activities of five leading cryptos.
The ETP was organized in such a way that below half of ETP’s assets will be capitalized in BTC with the leftover divided between Ethereum (16.7%), XRP (25.4%), Litecoin (3%) and bitcoin cash (5.2%).
According to the co-founder and CEO of Amun (a London financial technology company) Hany Rashwan, the crypto ETP was created to meet the same stringent criteria that were required of the exchange-traded products generally used by investors. Also, he talked about how the innovative trading product will assist in lowering the barricade to institutional access to cryptocurrency. “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.”