EQONEX launches its first crypto-linked exchange-traded product
EQONEX has launched its first Bitcoin Exchange-Traded Note (ETN) on the Deutsche Börse XETRA, allowing direct bitcoin exposure for investors. The ETN, physically backed and designed for German-resident investors, offers advantages like free redemptions and low management fees. The bitcoin is securely stored with accredited custodian Digivault. This launch marks a significant milestone for EQONEX in the digital asset market, following the approval from Germany's BaFin regulatory authority. EQONEX plans to expand its investment products to other markets in the future.
- Launch of the Bitcoin ETN enhances EQONEX's market position as a digital asset provider.
- The ETN offers free redemptions and low management fees, attracting more investors.
- The use of a reputable custody service (Digivault) increases trust and security.
- The product is currently limited to German-resident investors, restricting market reach.
EQONEX Bitcoin Exchange Traded Note (ETN) launches on Deutsche Börse XETRA Exchange today
- The EQONEX physically backed Bitcoin ETN (Ticker: EQ1B) offers investors direct exposure to bitcoin via an exchange-traded product
- Investors to benefit from free redemptions for the underlying bitcoin and low management fees
- Underlying Bitcoin is stored in EQONEX's accredited custody provider, Digivault
FRANKFURT, Germany, July 11, 2022 /PRNewswire/ -- EQONEX Limited (NASDAQ: EQOS) (the Group), a digital assets financial services company, today marked the official launch of its Investment Products business with the listing of a Bitcoin Exchange-Traded Note (ETN) on the Deutsche Börse XETRA Exchange.
Following the approval from Germany's Federal Financial Supervisory Authority (BaFin) for the ETN prospectus, the EQONEX Bitcoin ETN is the Group's debut exchange-traded product, with a pipeline of crypto investment and structured products earmarked for launch in the second half of 2022.
The EQONEX Bitcoin ETN provides direct investment exposure to bitcoin via an exchange-traded, physically-backed product. Investors can trade in and out of the ETN via their existing brokerage accounts and will also have the benefit of being able to redeem the underlying bitcoin for free using a Digivault custody account. The EQONEX Bitcoin ETN is available only to German-resident investors.
The bitcoin underlying the ETN will be stored in the group's Financial Conduct Authority (FCA) registered custody provider Digivault, which is one of only 35 exchange or custody providers to hold this accreditation.
EQONEX CEO Jonathan Farnell said, "The launch of our debut exchange-traded crypto investment product is an important milestone for EQONEX as we strive to build a world-leading and highly trusted crypto company. We are pleased our prospectus has met the discerning standards of BaFin to be eligible for listing on the XETRA exchange."
"Germany makes an ideal, strategic launchpad for our Investment Products business, given its sophisticated and highly educated investment community. We see the German market as fertile ground for what is likely to be a growing suite of EQONEX exchange-traded products," Jonathan said.
EQONEX is well positioned to offer an innovative suite of investment and structured products given the company's ecosystem which encompasses an exchange, custody capabilities, and its focus on regulatory compliance and security.
Frank Copplestone, EQONEX Head of Investment Products said, "The launch of our Investment Product business is an important milestone for the company as we dedicate more attention and focus towards delivering a broader mix of investment opportunities to our clients across Germany and in time, to other international markets," Frank said.
"Investors are looking for a range of ways to access digital asset investment opportunities, so we are excited to offer a product to German investors that provides direct bitcoin exposure, and is available on a regulated, globally recognized exchange".
Distinct from some other issuers, EQONEX embeds an additional investor protection by holding the underlying physical bitcoin in a segregated account under a Security Trustee, ensuring it is not used for rehypothecation.
The bitcoin underpinning the EQONEX Bitcoin ETN is held in Digivault which means it is Chainalysis-tested to ensure that it is legitimate and has not been tainted by money laundering or criminal activity.
About EQONEX
EQONEX Limited (NASDAQ: EQOS) is a technology driven digital assets financial services group that provides institutional grade infrastructure and a full suite of trading, custody and asset management solutions to clients. The Group's digital assets ecosystem has been designed to accommodate the needs of institutions and individuals with the same degree of regulatory oversight and security they are accustomed to in traditional financial markets. EQONEX's ecosystem primarily encompasses EQONEX Exchange, a digital asset exchange; Digivault, a FCA accredited hot and cold digital assets custodian and Bletchley Park Asset Management, a fund of crypto-hedge funds.
For more information visit: https://group.eqonex.com/
Follow EQONEX on social media on Twitter @eqonex, on Facebook @eqonex, and on LinkedIn.
Forward-Looking Information
Any forward-looking statements in this press release are based on available current market material and management's expectations, beliefs and forecasts concerning future events impacting EQONEX. You are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, as well as assumptions, which, if they were to ever materialize or prove incorrect, could cause the results of EQONEX to differ materially from those expressed or implied by such forward-looking statements. The forward-looking statements made in this press release speak only as of the date hereof and we disclaim any obligation, except as required by law, to provide updates, revisions or amendments to any forward-looking statements to reflect changes in our expectations or future events.
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SOURCE EQONEX
FAQ
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