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Nasdaq ETN Provider To Introduce A Range of Cryptocurrencies

Paula Baciu | Sep 18, 2018 | 00:00

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While the market flutters and the traders bite their nails waiting for the big news about a bitcoin ETF (Exchange Traded Funds), the first Bitcoin Exchange Traded Notes (ETN) provider, XBT Provider AB, devises expansion plans. 

Five to Ten More Cryptocurrency ETNs

It seems that the Sweden-based company aims to at least compete with cryptocurrency ETFs.

Bloomberg recently reported that XBT Provider AB is looking to fill a gap in market demand by providing exchange-traded products on a range of up to 10 cryptocurrencies. The company CEO, Laurent Kssis, explained that his clients expressed their desire to access a higher number of cryptocurrencies on multiple occasions — in spite of the market downfall over the last few months.

Of course, XBT’s positioning is likely playing an important role as well. Sweden has been long known for being one step ahead of others when it comes to cryptocurrency adoption. Kssis said it himself that the country “is very much ahead of the curve when it comes to cashless transaction” and the Swedish “investor base is very receptive to [cryptocurrencies].”

First Bitcoin Trackers, then Ether Trackers — What Next?

XBT Provider has facilitated traders’ access to cryptocurrencies since 2015. It currently is comprised of bitcoin and ether ETFs, dubbed Bitcoin Tracker One and Ether Tracker One, respectively. Both have been traded as securities on Nasdaq Stockholm ever since their launch, three years ago. However, XBT Provider’s expansion plans are not limited to cryptocurrencies alone.

Ryan Radloff, the CEO of XBT Provider’s parent company, CoinShares, revealed that the team is also exploring the possibility to expand to other countries as well. “Other exchanges and jurisdictions are now calling us, wanting our knowledge and know-how to bring these assets to the market,” he explained.

A first step was to introduce their products to the American market in August this year — which move was immediately sanctioned by the SEC on September 9th.

What Does the Future Hold?

This year was decidedly not the best year for Bitcoin and the cryptocurrency market in general. XBT Provider has serious growing plans nevertheless.

Radloff explained that he has a strong belief that beyond adoption, cryptocurrencies will revolutionize the financial and economic system altogether:

We’re going to start seeing, over the next few years, the emergence and birth of security tokens […]. And you’ll see a whole onslaught of equities, debt, even currencies and other commodities being tokenized.

Like many experienced investors who followed the cryptocurrency market for many years, Radloff regards the current market crash as more of a whim. “Bitcoin has already died three times,” he said in an interview.

Do you believe that cryptocurrency ETNs could provide a solution for institutional investments? Let us know with a comment below! 

Images courtesy of Shutterstock.