ETC Group launches centrally cleared Ether ETC: The first Ethereum exchange traded product to list on Deutsche Börse XETRA
The exchange traded product provides investors an easier and safer way to invest in Ether
London, 8th March 2021 – ETC Group (www.etc-group.com), the specialist provider of innovative, digital asset-backed securities, announces that it will list a 100 % physically-backed, central counterparty cleared ETC on Ether, trading under the name ETHetc and primary ticker ZETH, on Deutsche Börse’s XETRA on Tuesday 9th March 2021. This is the first Ethereum exchange traded product (ETP) to list on Deutsche Börse XETRA and follows the successful launch on XETRA last year of BTCetc - Bitcoin Exchange Traded Crypto - (BTCE), which now has over $1 billion assets under management (AUM).
The listing on XETRA is especially relevant for institutional investors as they can now get exposure to Ether while trading an institutional-grade product with similar liquidity and tight spreads as ETC Group’s physical bitcoin product (primary ticker BTCE), on the largest ETF trading venue in Europe. Structured as an asset-backed debt security and approved and issued in Germany, investors do not need to engage with the technical challenges of purchasing and storing Ether, trading on unregulated crypto exchanges, or managing cryptographic keys. With a management fee of 1.49%, and fully fungible with Ether, this ETC is marketed and distributed across Europe by HANetf, alongside ETC Group’s BTCE.
Approved by BaFin, the German financial regulator, each unit of ZETH is physically backed by Ether stored in regulated, institutional-grade safe custody, giving the investor a claim on a predefined amount of the underlying Ether. BitGo Trust Company, Inc., the pioneer in digital assets safekeeping, will be the custodian. Units of ZETH are safely held with an investor’s securities broker or bank, thus removing the risk around the trading, moving and storing cryptocurrencies.
Bradley Duke, CEO of ETC Group said: “With the listing of ZETH on XETRA, ETC Group has stayed faithful to the formula that brought success with BTCE, focussing on investor security in the product design and ensuring ample liquidity and tight spreads on exchange. Both retail and institutional investors asked for an Ether ETP in the same mould as BTCE and so we are proud to be able to respond with the first Ethereum exchange traded product to list on Deutsche Börse XETRA and have more exciting products coming very soon.” This product follows the huge success of the company’s first listing, BTCetc - Bitcoin Exchange Traded Crypto - (BTCE) launched in June 2020, which was the first cryptocurrency exchange traded product to ever list on Deutsche Börse’s XETRA, and which has amassed over $1 billion in AUM1. It was the most traded product on the exchange’s ETN segment in the second half of 2020. BTCE is also listed and traded on SIX Swiss Exchange.
Hector McNeil, co-Founder and co-CEO at HANetf, added “ETC Group offers market leading investment cryptocurrency investment products, which address the concerns investors have around the infrastructure of investing in these assets, evidence of which is the huge growth in assets under management in their first product, BTCE, which now has over $1 billion in just over seven months since listing. We are proud to support that growth.”
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