As a seasoned researcher with years of experience navigating the dynamic world of finance and technology, I find the expansion of 21Shares into the Future of Crypto Index ETP (FUTR) an intriguing development. Having closely followed the evolution of cryptocurrencies in various markets, it’s exciting to see a company like 21Shares pushing for regulatory changes that could open up this promising asset class to a wider audience.
As a crypto investor, I’m thrilled to be part of the growing crypto market as companies like 21Shares continue to innovate and expand their services. Specifically, they’re broadening their business with the introduction of their Future of Crypto Index ETP (FUTR) in Europe. This means that I now have a new investment opportunity that provides diversified exposure to some of the most promising cryptocurrencies in the market.
21Shares recently urged the European Securities and Markets Authority (ESMA) to revise its regulatory guidelines to allow crypto assets within Undertakings for Collective Investment in Transferable Securities (UCITS) funds, a type of investment vehicle typically used by retail investors that encompasses products such as ETPs and ETFs. This is a response to the recent development.
21Shares Unveils Its First-ever Megatheme ETP
The company contends that the existing rules within the EU regarding cryptocurrency asset integration in investment funds vary significantly among countries, leading to perplexity and hurdles for investors attempting to navigate the European financial landscape.
21Shares persists in growing its European footprint, introducing a fresh ETP despite the regulatory challenges. As announced in a press release on Thursday, this new offering will be tradeable on both Euronext Paris and Euronext Amsterdam, thereby extending investment opportunities for European investors.
The recently introduced FUTR Exchange-Traded Product (ETP) provides investors with a wide range of exposure to sectors shaping the future of the cryptocurrency market. 21Shares refers to this fund as their inaugural “megatrend” ETP, offering investors access to the top six predictions for the next stage of crypto development.
This list encompasses financial transaction systems, blockchain technologies for smart contracts, programs that speed up the development of blockchain applications, financial services based on decentralization (DeFi), artificial intelligence and data-related solutions, along with social media and gaming industries.
As a “major theme” Exchange Traded Product (ETP), FUTR is structured to grant investors access to all six categories through its tracking of a market-capitalization-based index. This means that prominent assets from each sector are given more focus. It’s important to note that this ETP avoids high-risk investments, such as meme tokens and privacy coins, instead concentrating on projects that meet a minimum $2M liquidity requirement.
21Shares’ CEO and co-founder, Hany Rashwan, stated that FUTR, their first crypto megatheme ETP, marks a new stage in the development of the firm’s European product range. He sees it as a possible avenue for investors who have already invested in Bitcoin (BTC) and Ethereum (ETH), seeking further investment opportunities.
Flexible, Dynamic Investment Strategy
21Shares has created the Future Trends Exchange Traded Product (ETP) to keep pace with the swift changes in the cryptocurrency market. This innovative product employs a flexible allocation strategy, implying that the index will adapt according to emerging patterns. In this way, the portfolio stays in sync with where the crypto industry is heading.
Furthermore, this product holds a guarantee from the cryptocurrencies it represents, which are securely kept in offline storage by a reputable custody service. It’s worth noting that this new offering marks the company’s 44th cryptocurrency Exchange-Traded Product (ETP) and its 10th product that includes multiple cryptocurrencies.
21Shares announced a partnership with MarketVector Indexes, a specialist in crypto index creation, to design the foundation index for their upcoming Exchange-Traded Product (ETP). Additionally, they are collaborating with Flow Traders on this new project. As per the announcement, Flow Traders will act as the market maker, ensuring smooth liquidity for investors interested in the product.
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2024-10-10 13:32