While Europe is tightening the regulatory net on crypto, its investors are increasingly interested in crypto ETPs and ETNs (exchange-traded products and notes).
ETPs are traditional financial products backed by or tracking the performance of cryptoassets. They offer investors an exposure to cryptoassets without the technical and especially regulatory hurdles related to buying crypto themselves, which of course pleases many institutional or simply conservative institutions.
? So far crypto-related products are a huge success in Europe.
Germany’s Deutsche Börse Xetra registered a yearly turnover of crypto ETN of €12.5Bn, with dozens of products tracking 19 different cryptoassets.
The Swiss SIX exchange has a yearly trading turnover of CHF8.6Bn, listing 155 ETPs.
Euronext in Paris and Amsterdam has been listing a couple of crypto ETPs only since the end of May’21 and is yet to develop this sector, but the plan is already outlined in the stock exchange’s most recent press release.
The asset managers most often presented on the European stock exchanges include VanEck, WisdomTree, 21shares, CoinShares, ETC Groupt, Fidelity…
What’s more, Xetra-traded ETC Group and Helveteq, which has joined SIX exchange this week, propose carbon-neutral and ESG-transparent ETPs.
We would sure prefer people and companies trading crypto directly, but things go slowly in the big finance world, and especially in Europe. What is certain is that stock exchanges listing crypto ETPs help share crypto awareness among professional investors, while doing a good business for themselves ?