The Swiss SIX Exchange, the main exchange in Switzerland, continues to expand its crypto products with the new Bitcoin exchange (BTC) or ETP.
On January 13, SIX BTCetc launched Bitcoin ETP (BTCE), a new ETP cryptocurrency product released by London-based investment firm ETC Group. The recently introduced ETP tracks the price of Bitcoin, giving investors a new way to access the world’s largest cryptocurrency. Each BTCE unit entitles its owners to a predetermined amount of BTC.
ETC Group specializes in creating new securities backed by digital assets and enjoys the support of shareholders such as XTX Ventures, the Venture Capital division of XTX Markets and the financial services company ITI Capital.
SIX is one of the largest ETP trading platforms in the world and houses a wide range of investment products for cryptocurrencies. Since the introduction of the world’s first encrypted ETP at the end of 2018, SIX has actively implemented several ETPs, including many products supported by 21Shares. In July 2020, SIX Bitcoin Capital listed Active ETP, an effectively managed ETP currency for trading BTC against the 14 best altcoins such as Ether (ETH).
ETP is a type of securities that is quoted from financial derivatives and is traded on the basis of investment instruments such as commodities, currency, share price or interest rate. Unlike ETFs or ETFs, an ETP for cryptocurrencies is always 100% supported by the assets they follow.
However, while cryptocurrency ETPs are increasingly appearing on stock exchanges, especially in Europe, the digital asset industry is still waiting for its first ETF cryptocurrency.
The cryptocurrency community has made many attempts to launch ETFs in recent years, with investment management company VanEck as the first company to apply for a Bitcoin ETF in July 2018. The US Securities and Exchange Commission has canceled several ETF attempts, including two. Apps for Gemini founders Cameron and Tyler Winklevos.
Finally, these requests were rejected by regulators, many of whom still believe that the cryptocurrency industry has not yet matured enough to support ETFs. The US stock market also expressed concern about the volatility of cryptocurrencies and the problem of storing bitcoin ETFs.
Despite several failed attempts, the cryptocurrency industry continues its efforts to list Bitcoin ETFs on a major stock exchange. On January 11, the CEO of the Canadian investment fund Arxnovum Investments presented the prospectus for the Bitcoin ETF with Canadian equity regulators.