SIX hosts world’s first crypto index ETP

DATE & TIME: Thu Nov 22 2018 12:47:19 GMT+0100 (hora estándar de Europa central) SIGNEE: swisstechmakers (swisstechmakers@swisstechmakers.ch)
DATA HASH: C0ABE9DB1FB2B6269C4FA728E4669CD096BC2BEFDC823A99E6F5539AC60CC5B7

The so-called “SIX Swiss Exchange”, Switzerland’s main stock market, has just unveiled the green light, the cryptography industry’s primer that tracks several cryptocurrencies (including the XRP). The product, dubbed “Amun Crypto ETP”, is backed by Amun, a financial technology company based in London. Jane Street and Flow Traders, two of its creators, have revealed that they have provided the initial funds for the ETP.

Interestingly, a difference of other proposals for products listed on the stock exchange, this is a more recent vehicle, as well as investors, the returns of the main assets of the cryptocurrency market: Bitcoin (BTC), XRP, Ethereum (ETH) , Bitcoin Cash (BCH) and Litecoin (LTC).

Reports indicate that the product of multiple cryptography, which will track the five cryptocurrencies before the results, will be released in a few days in Zurich, a world center less known to the financial world.

Although the Amun Crypto ETP is marketed as an instrument compatible with the altcoin, it evidently focuses on BTC, probably due to its hegemony of a decade in this nascent industry. More specifically, just under 50% of Amun’s ETP will be allocated in bitcoin, while XRP will account for a quarter (25.4%). On the other hand, with BCH and LTC that consist of the rest in 5.2% and 3% respectively. Amun will charge 2.5% per year to its customers to manage the product.

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Financial Times spoke with Hany Rashwan, executive director of the main sponsor of this instrument, about the prospects and the spirit of the product. Rashwan, referring to the legitimacy of the Crypto ETP of Amun, noted:

Amún’s ETP grants investors the institutions that are restricted to investment only in securities that do not wish to establish custody of the exposure of digital assets to cryptocurrencies. It also provided access to retail investors who currently do not have access to exchanges due to local regulatory impediments.

The vehicle friendly with XRP and Ether of Amon is a breath of fresh air, the rivals of the signature, the currency and the grayscale, have only offered unique cryptographic products so far.

The traditional system of exchange of values ​​could be completely replaced by digital exchange in approximately 10 years. When brokers, banks, insurance companies and major asset managers really see the cost advantages, the change occurs relatively quickly.

SIX has plans to launch the “SIX Digital Exchange (SDX)” for Q2-Q3 2019, which has been executed along with the classic SEIS system. Although this news is positive for the blockchain industry as a whole, reports indicate that it is unlikely that SDX will launch a cryptocurrency project, probably due to regulatory restrictions.

Switzerland, far ahead of the US in cryptography

Although Switzerland’s regulatory environment is very far from the United States, many still hope for a similar product in the US public markets. Speaking with CNBC’s Crypto Trader program, Gabor Gubacs of VanEck, who spearheads the investment firm’s moves for an ETF backed by Bitcoin, that an ETF would greatly strengthen this industry, which would generate worldwide adoption.

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