CoinShares rolls out an exchange-traded Bitcoin product at SIX

Written by: Jinia Shawdagor
January 19, 2021
  • This launch comes after BTC surged as high as £30,000 to set a new all-time high.
  • CoinShares’ ETP, which will trade under the ticker BITC, will be backed by 0.001 BTC.
  • Per CoinShares’ Frank Spiteri, the firm decided to launch an ETP due to increasing demand.

CoinShares, a renowned asset manager based in St. Helier, Jersey, is planning to launch an exchange-traded Bitcoin product. A report unveiled this news on January 18, noting that the asset manager’s physical Bitcoin product would go live today, January 19. Reportedly, the product is listed on the SIX Swiss Exchange under the ticker symbol BITC and charges a 0.98% expense ratio.

According to the report, Komainu, a regulated institutional-grade crypto custodian that was jointly-developed by Ledger, CoinShares, and Nomura Holdings Inc, will serve as the product’s custodian. BITC will be physically-backed backed by BTC. Each unit of the product will allegedly be backed by 0.001 BTC. The ETP will have four trading pairs; USD, CHF, EUR, and GBP.

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Commenting on this bullish development, Frank Spiteri, CoinShares’ chief revenue officer said a lot of institutional investors have a strong due diligence process. As such, CoinShares decided to introduce a best-in-class product to the market to meet the increasing demand. He added that the company is prepared to cater to the needs of institutional clients starting this month.

Institutional interest in crypto continues surging

According to SIX Swiss Exchange’s head, Christian Reuss,

Interest in Bitcoin continues to grow. As the world’s leading regulated marketplace for products with crypto-currency underlyings, SIX offers investors crucial benefits like transparency, liquidity and equal treatment. A warm welcome to CoinShares joining our ranks of Exchange Traded Product issuers.

Through CoinShares’ launch of a physical BTC ETP, investors now have access to 22 BTC ETPs and structured products on SIX Swiss Exchange. CoinShares has also become the seventh firm to issue an ETP on the exchange.

While CoinShares has launched a BTC ETP after numerous organizations, the asset manager, which currently manages assets worth more than £2.1 billion, is not a beginner in the space. As a matter of fact, the asset manager rolled out a regulated bitcoin investment fund six years ago when BTC’s price was approximately £294, making it the first company to launch a crypto investment product.

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