21Shares, a Swiss based company, is launching the world’s first Solana Exchange ETP. The vehicle will go live on Tuesday with ticker ASOL.
An ETP is an exchange traded product. The SOL ecosystem is backed by FTX exchange. Moreover, Sam Bankman, the CEO of FTX, is the biggest contributor of SOL. It is currently the 8th ranked crypto. With more than $8 billion market cap.
The ETP will be used as a performance measure for the SOL token. Also, each ETP will be backed by 0.667 SOL at a 2.5% per annum fee. The ETP structure is segregated and collateralized. It replicates 1:1 tracking of the crypto.
ETPs Are the New Thing
European regulators are opening their arms for ETPs. They are now accepting ETPs as an asset class. In April 21Shares had also launched ETP for Cardano as well. Which shows a promising trend.
The CEO of 21Shares Hany Rashwan said about ETPs
“These new ETPs deliver what clients asked for. We expect to add two new crypto ETPs in the next months together with new listing and trading venues.”
Additionally, Solana ETP will be available on Dusseldorf and Stuttgart MTFs in Europe.