From the latest, 21Shares AG is listing Stellar XLM ETP (AXLM) and Cardano ADA ETP (AADA) on the Swiss stock exchange (SIX Exchange). The Swiss fintech company is making its first crypto Exchange Traded Products ( ETPs) for Stellar Lumens and Cardano (ADA).
Launch of ETP on The Regulated Market of Swiss Stock Exchange
Pioneer issuer of crypto Exchange Traded Products (ETPs) is launching the on the regulated market of the Swiss Stock Exchange (SIX Exchange) on Monday, 26th April 2021, for further boosting 21Shares as the leading issuer of crypto ETPs.
The firm is also adding two investment products to the Stuttgart and Dusseldorf Multilateral Trading Facilities (MTFs). According to the firm, the aim is to expand its roster of crypto exchange-traded products amid rising interest in Cardano and Stellar Lumens.
According to 21Shares “demand for its crypto, ETPs soared by 200% since Q1 2021 as institutional investors allocate funds to institutional-grade and open-ended ETPs, driving the increase in new inflows.”
“Both AXLM and AADA ETPs will allow clients to diversify and gain exposure to cross-border transitions between any pair of currencies whilst Cardano will help running smart contracts using proof of stakes on a level previously not possible executing using your bank or broker. The ETP structure is 100% physically collateralized, segregated, and replicates 1:1 the tracking of both crypto assets.”
ETP types of securities that track underlying security, index, or financial instruments. Trading similar to stocks, the price of ETPs fluctuates from day-to-day and intraday. Their share price is also derived from the underlying securities and financial instruments. AXLM and AADA replicate the performance of Stellar Lumens and Cardano, respectively. Cardano (ADA) is a blockchain-based smart contract platform enabling developers to build decentralized applications.
40 XML will back each unit of AXLM. Coinbase will custody the firm’s Stellar Lumens collateral, while Kingdom Trust will custody the ADA collateral.