CoinShares, Europe’s leading cryptocurrency investment company, is expanding its exchange-traded products (ETP) with a new physically-backed ETP based on Algorand (ALGO). Here are the details…
Algorand ETP from CoinShares
CoinShares announced on Thursday that the physically-backed stock Algorand ETP has been listed on Xetra, the electronic trading platform operated by Germany’s exchange operator Deutsche Boerse. The investment firm’s new crypto investment product, “Physical Stake Algorand,” based on physical staking, will be traded on Xetra under the ticker RAND. ETP is enabled through CoinShares’ proprietary technology platform Galata. It allows investors to enjoy 2% stake rewards associated with participation in Algorand’s Blockchain security.
New Algorand ETP; It joins CoinShares’ family of staked ETP offerings, which includes Blockchain networks and cryptocurrencies such as Polkadot (DOT), Tezos (XTZ), Cardano (ADA), Solana (SOL), Cosmos (ATOM), and Polygon (MATIC). Created in 2017, Algorand is a decentralized network and infrastructure that aims to enable an enhanced version of a Proof-of-Stake (PoS) algorithm called pure PoS (PPoS). Unlike many PoS networks, any network member can become a validator with the minimum required staking amount of 0.1 ALGO ($0.03).
Great demand for ETP from investors
As CoinShares launches the Physical Stake Algorand, the ongoing bear market is weighing on prices. The market’s total valuation in recent months has stood at less than $1 trillion amid extreme volatility. “Despite the volatility in the digital asset markets in recent weeks, we are encouraged by the demand for our products, particularly physically backed staked ETPs that are far from bankruptcy,” said Townsend Lansing, product manager at CoinShares. Lansing noted that the launch also came against the backdrop of positive regulatory news after Markets in Crypto Assets (MiCA) regulations in Europe were finalized in late June.
The Algorand ETP launch came shortly after CoinShares announced on July 4 that it had acquired Napoleon Asset Management. The acquisition enables CoinShares to offer products and services that comply with the Alternative Investment Fund Managers Directive, in addition to its core position as a crypto ETP issuer.
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