ETC Group from London will reportedly finalize the listing of the first crypto exchange-traded product on Germany’s Xetra digital stock exchange in June 2020.
Specifically, the ETC Group has reportedly revealed publicly that Bitcoin Exchange Traded Crypto (BTCE) – an exchange-traded product (ETP) – will reportedly be released on Deutsche Börse Xetra, following the obtained regulatory greenlight from financial regulators in Germany.
BTCE was reportedly designed as a tracking tool for Bitcoin (BTC) price value, and is physically supported by the digital coins. The Bitcoin will be kept in cold storage by digital asset custodian BitGo.
“The crypto sector has been held back by concerns about complexity, accessibility and governance. With BTCE, we are transporting Bitcoin into the fold of mainstream, regulated financial markets. Investors get the benefits of trading and owning Bitcoin through a regulated security while having the optionality of redeeming Bitcoin if they choose.” ETC Group CEO Bradley Duke reportedly remarked.
The group further reportedly revealed that it is making BTC trading available via “an ETP structure”, which does not bear many similarities to an exchange-traded fund (ETF).
Per the company, the hybrid ETP product does not reach the exact definition of an ETF across Europe, since it is a single asset instrument.