Germany’s Stock exchange Borse Xetra will list its first crypto exchange traded product (ETP) this month.
The Bitcoin ETP is courtesy of a partnership between London-based ETC group and Germany’s Xetra digital stock exchange. According to reports, the Bitcoin ETP or BTCE will go live following the approval by Germany’s financial regulator (BaFin).
The BTCE tracks the price of Bitcoin (BTC), and is physically backed by the cryptocurrency; with each unit giving its holder a claim on a specific amount of Bitcoin.
Commenting on the product, ETC Group CEO Bradley Duke remarked:
“The crypto sector has been held back by concerns about complexity, accessibility and governance. With BTCE, we are transporting Bitcoin into the fold of mainstream, regulated financial markets. Investors get the benefits of trading and owning Bitcoin through a regulated security while having the optionality of redeeming Bitcoin if they choose.”
On its launch, the Bitcoin ETP will be available to traders in Germany, United Kingdom, Italy, and Austria.
Germany looks to continue its crypto regulation strategy, with its financial authorities specifying standards required for crypto custody companies, as many eye adoption.
