CoinShares lists bitcoin ETP on SIX Exchange
Another week and another crypto launch for Switzerland’s SIX Exchange with the arrival of CoinShares with its new physically backed ETP, CoinShares Physical Bitcoin (BITC).
CoinShares, with over USD2.9 billion in assets under management, announced that BITC will be the first product released on its new institutional-grade ETP platform and launches with USD100 million under management, a base fee of 0.98 per cent, and that each unit of BITC is backed with 0.001 bitcoin at launch. The firm says that this provides investors with passive exposure to bitcoin and the convenience of an ETP.
Head of Product, Townsend Lansing says: “Since 2014 CoinShares has provided an effective bridge between the cryptocurrency ecosystem and traditional finance via our XBT Provider family of ETPs. BITC and its platform represent the next stage of this evolution. As the European market leader for these products, we will continue to develop investment vehicles that eliminate the boundaries prohibiting institutions from actively investing in what we believe to be the future of finance.”
Designed to appeal to an institutional investor audience, BITC is physically backed – meaning a dedicated CoinShares entity directly holds the underlying digital assets which are custodied by Komainu. Komainu is the first hybrid institutional-grade digital asset custodian designed specifically for financial service providers and blue-chip corporates. It is a joint venture between Nomura, Ledger and CoinShares.
In addition to the security provided by Komainu, the CoinShares Physical product line also enjoys real-time attestation through Armanino and will be supported by a team with decades of experience in the structuring and distribution of ETPs to European investors. The team is led by Chief Revenue Officer Frank Spiteri who joined last year after previously serving as Head of Distribution for WisdomTree Europe.
Chief Revenue Officer, Frank Spiteri (pictured) says: “Over the last 12 months, we have seen a steady increase in interest and demand for digital assets from our institutional clients, and this platform has been built with their feedback in mind. The physically backed structure is familiar to institutions who have extensive experience in trading similar commodity-based investment vehicles. We’re looking forward to servicing both new and existing investors with our new CoinShares Physical product line.”