Bullish news for Bitcoin: Institutional investors can soon invest in “digital gold” with “BTCE” on Xetra.The new financial product BTCetc Bitcoin Exchange Traded Crypto (BTCE) is due to move into XETRA, Deutsche Börse’s electronic trading platform, this month. The BTCE tracks the price of Bitcoin (BTC), by far the largest cryptocurrency by market capitalization. He is physically secured. This means that it will be fully deposited with Bitcoin (BTC), where 1 BTCE corresponds to 0.001 Bitcoin (BTC). The ETC Group, the issuer of BTCE, draws a comparison to existing physically covered financial products, namely ETCs (Exchange Traded Commodity) for gold.
“Each BTCE share grants the holder a right to a predefined amount of Bitcoin. When selling, the shares can optionally be paid out in Bitcoin. This structure is very similar to the already established structure of physically deposited gold ETCs. For each outstanding security, physical bitcoins are held with a regulated depositary, taking institutional security standards into account”
Especially for the “big ones”
In it, Bradley Duke, CEO of the ETC Group, explains what the advantage of his product should be over a traditional investment in Bitcoin (BTC) and who the offer is primarily aimed at:
“BTCE brings the transparency and investor protection that regulators and institutional investors need to the Bitcoin world. The crypto sector has been held back due to concerns about complexity, accessibility and governance. With BTCE we bring Bitcoin into the world of regulated financial markets. Investors get the benefits of trading and owning Bitcoin through a regulated security” -Bradley Duke, CEO of the ETC Group