CoinShares -one of the largest crypto investment firms in Europe with a digital portfolio of over U$3.8bn in AUM, and FTX have joined together to launche a new Solana- based ETP( Exchange Traded Product). The new ETP will be physically backed as well.
The new product has the long moniker of CoinShares FTX Physical Staked Solana (yes that is quite a mouthful), and it will be launching with 1 million SOL,well over $100 million USD currently, in seed capital. This amount will allow investors to get 3% in staking rewards per the announcement made by CoinShares on their offical page. The project makes use of the company’s proprietary platform Galata which would act as a bridge connecting digital asset protocols and markets.
[1/5] We are excited to announce that we've partnered with @FTX_Official and our first initiative is to launch a physically staked Solana ETP with SOL1mn seed capital, Staking Rewards of 3.0% p.a, and a reduced management fee of 0.0% p.a. pic.twitter.com/dCq5H2CH1c— CoinShares 👩🚀 (@CoinSharesCo) March 23, 2022
The product is planned to be listed on the Xetra market which is Germany’s major market. This is the fourth ETP rolled out by CoinShares which previously launched a similar product on the Cardano,Polkadot, and Tezos blockchains. The offerings are quite innovative in that they allow the issuers to share staking rewards with investors, this is done by reducing management fees and increasing coin entitlement of the ETP each day.
Sam Bankman-Fried made note that the ETP launch follows the launch of FTC access which is meant to provide global access to digital access products. in a statement to multiple outlets Mr. Bankman-Fried stated “ The goal of FTX Access is to bring institutional-grade services and products to market in a cost-effective manner. “ With the recent expansion of FTX into Europe in early March and winning a license in Dubai mid-March FTX has continued to be the fastest growing cryptocurrency company out now.