ETC Group and 21Shares to launch Ethereum ETP on Deutsche Börse

On March 9, London-based ETC Group will list an Ethereum-linked exchange-traded product (ETP) under the ticker ZETH on Deutsche Börse’s Xetra trading platform. Decrypt reports.

ZETH will complement ETC Group’s Bitcoin ETP launched in June. According to the firm, the instrument based on the first cryptocurrency became the most traded asset in its class on Xetra in the second half of 2020.

ETC Group representatives said AUM has grown to $1 billion.

Xetra approved a similar request for listing Ethereum-ETP (21XE) from the Swiss crypto-ETP provider 21 Shares.

What is a cryptocurrency ETF?

Trading for the Bitcoin ETP (21XC) will also begin on March 9, with listing approved by Deutsche Börse’s Xetra trading platform.

One feature of 21Shares products is their centralised clearing, performed by Coinbase Custody. The company says this approach should serve as an additional factor in broadening institutional adoption of cryptocurrencies.

In October 2019, 21Shares (formerly Amun) launched Bitcoin and Ethereum ETPs on the SIX Swiss Exchange. Currently, AUM for each instrument exceeds $100 million.

The first ETP, based on a basket of the most liquid cryptocurrencies, was launched by the Swiss provider in November 2018. The range expanded to 12, including a February 2021 launch of the Polkadot-based exchange-traded product.

CEO Hani Rashwan said the company was working on several ETP launches in the second and third quarters.

In February AUM at 21Shares doubled over two weeks— from $500 million to $1 billion.

In March, Evolve Funds filed to launch an Ethereum-based exchange-traded fund (ETF).

Earlier, another firm—CI Financial, backed by Galaxy Digital’s Mike Novogratz, launched Ethereum-focused funds aimed at institutions, attracting more than $32 million since their launch in February.

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