21Shares Launches “World’s First Physically-Backed” ETPs for Aave, Chainlink, and Uniswap


Switzerland-based 21Shares AG, which is considered one of the pioneers in issuing crypto exchange-traded products (ETPs), has announced listing of $AAVE, $LINK, and $UNI ETPs on a Swiss regulated stock exchange.

BX Swiss is “a Swiss stock exchange operated by BX Swiss AG and it is “subject to the supervision by the Swiss Financial Market Supervisory Authority (FINMA).”

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ETPs are “collateralized, non-interest paying debt securities designed to replicate the performance of an underlying asset and in the case of 21Shares’s ETPs, its products “replicate the performance of the crypto asset (Bitcoin, Ethereum, Ripple, Bitcoin Cash) or the index it tracks (HODL5, BIT10, ABBA).”

Here is how 21Shares explains the difference between ETPs ETFs:

Although ETPs are structured and operate very similarly to traditional Exchange Traded Funds (ETFs), the primary difference between the two is that ETPs are debt securities issued by a Special Purpose Vehicle (SPV) instead.

According to a press release issued by 21Shares on February 1, these are the three new ETPs:

These three additions to 21Shares’ ETP lines means that it now offers 18 single-asset ETPs as well as seven index ETPs. In 2018, 21Shares “built HODL, the world’s first crypto ETP on the SIX Swiss Exchange.” 21Shares’ crypto ETPs make “investing in crypto assets as easy as buying shares using your conventional broker or bank.”




On 31 May 2021, 21Shares announced that it had “chosen CryptoCompare, the digital asset market data specialist, to provide settlement pricing for all of its single asset ETP data effective June 1st 2021″. It also mentioned that “the daily delivery of high-quality data to the market to 21Shares’ stakeholders is paramount to ensuring market participants can correctly price with confidence the liquidity profiles investors demand in actively growing crypto markets.”

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Here is what 21Shares had to say about why it chose CryptoCompare to be its pricing data provider:

CryptoCompare was the distinct choice for 21Shares. Since launching in 2014, CryptoCompare has become an integral data resource, bridging the gap between digital asset markets and traditional finance. Its proprietary data infrastructure captures, normalises, and distributes data feeds on an intraday /daily basis across the entire suite of 21Shares’ single asset ETPs. CryptoCompare is already the ‘go to’ provider of digital asset market data and calculation services for reference pricing, supporting a wide range of products.

Ophelia Snyder, Co-Founder and President of 21Shares AG, stated back then:

As a highly innovative firm driving change in how investors access crypto assets, we choose our partners carefully and diligently. CryptoCompare has shown an equal drive to transform the market for reliable crypto data using innovative technology and adapt it in an ever demanding industry. Providing us with the most accurate seamless daily data, forms an essential part of our expansion and market participation. CryptoCompare is the right partner to make this happen.

Disclaimer

The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.

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