Coinshares expands its exchange-traded products (ETP) with a new physically-backed ETP build Algorand

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  • Coinshares has listed its new physically-backed ETP on Xetra.
  • The Algorand ETP is the latest in the line of staked ETPs launched by Coinshares.

On Thursday, famous Europe-based crypto investment company, Coinshares, announced the launch of its new physically-backed exchange-traded products (ETP). The new Coinshares ETP is the latest addition to the firm’s staked ETPs, such as MATIC (Polygon), ADA (Cardano), DOT (Polkadot), XTZ (Tezos), SOL (Solana), and ATOM (Cosmos).

The announcement revealed that the crypto investment firm had listed its staked Algorand ETP on the Xetra platform. The Deutsche Boerse, a German exchange operator, runs the Xetra electronic trading platform. The new Coinshares ETP will be traded on the Xetra platform and have the RAND ticker.

Galata (Coinshares’ trademarked technology platform) powers the new ETP. Thus, investors can earn 2 percent in staking rewards for participating in the security of Algorand’s blockchain. The Algorand blockchain became fully operational five years ago.

It is a decentralized network with the primary goal of providing a better version of the Proof-of-Stake (PoS) blockchain, otherwise known as the pure PoS. One of the ways Algorand differs from other pos networks is the requirements to become a validator. Any member of the Algorand network with at least 0.1 ALGO ($0.03) can become a validator.

A launch amidst crypto winter

Coinshares is expanding its line of ETP products despite the current downturn in the crypto market. The Crypto market has suffered huge price swings in the last couple of months. Hence, it is no surprise that its overall evaluation is less than $1 trillion.

Commenting on the launch, Townsend Lansing said Coinshares’ move to launch a new ETP despite crypto winter is because of the market’s demand for its ETPs. Lansing, who heads Coinshares’ Product department, said there had been a greater demand for the firm’s range of physically-backed staked ETPs recently.

The Coinshares executive adds that the company’s encouragement to launch this new product was partly due to the completion of discussions regarding the markets in crypto regulation (mica) last month. Coinshares considers the MiCA regulations an excellent step towards regulating crypto assets across Europe. The crypto investment firm also believes that the mica regulation is precise and detailed enough to cover all the essential aspects of crypto.

Coinshares’ business expansion

Coinshares have been in the news lately for positive reasons. Today, it is launching an Algorand ETP. Earlier in the month, it acquired napoleon asset management, a french crypto asset management firm. That acquisition solidified Coinshares’ position as a leader in issuing crypto ETPs.

Also, the move will enable Coinshares to offer its products under the highly respected Alternative Investment Fund Managers’ Directive (AIFMDD). Napoleon was the first crypto asset manager to obtain an AIFMD regulatory license. Coinshares has often stated that it isn’t afraid of regulation for the crypto market. The crypto asset manager believes proper regulation will boost the growth of the crypto space.