CoinShares to Launch Physically Backed Ethereum ETP

The asset management company CoinShares объявила about the launch of an exchange-traded product (ETP) based on Ethereum with physical exposure to cryptocurrency.

CoinShares Physical Ethereum, under the ticker ETHE, will become the firm’s second crypto ETP.

Each ETHE share at issuance is backed by 0.03 ETH. Assets under management of the ETP will be around $75 million, enabling institutional and corporate investors to gain exposure to the second cryptocurrency.

Previously, the company launched a similar product based on Bitcoin. It trades on SIX Swiss Exchange, the largest stock exchange in Switzerland.

ETHE will also initially be listed on the exchange, where it will carry a base fee of 1.25%.

“In the early days of 2021 we saw continued institutional demand for digital assets. We are also observing growing investor interest in Ethereum,” said CoinShares Chief Revenue Officer Frank Spiteri.

Earlier, the firm’s analysts suggested that traditional investors allocate 4% of their portfolios to Bitcoin, comparing it with a successful startup.

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