Solana ETP receives approval to trade on Frankfurt Boerse

    03 Feb 2022

    DeFi Technologies subsidiary has been given the green light by the Boerse Frankfurt Zertifikate AG to list an exchange-traded product (ETP) that tracks the price of Solana cryptocurrency (SOL). The ETP provides traditional investors exposure to the crypto within a regulated and “fully backed” environment.

    According to a Monday press release, Valour’s Solana ETP began trading Tuesday under the German securities identification number A3GU9Y. The ETP directly tracks the price of SOL by calculating the arithmetic mean price from major crypto exchanges.

    A listing such as this gives traditional investors a means to edge their way into the crypto industry by alleviating certain risk concerns due to the exchange’s regulated structure.

    Claiming to be “fully backed at all times,” Valour said it achieves this by purchasing or selling an equivalent amount of the underlying for every Valour ETP that is bought and sold on the Boerse or another exchange.

    The product provides an investor exposure to SOL that can be bought directly from their bank or broker. ETPs are financial products that invest in or provide exposure to a variety of securities and are traded on an exchange.

    A reference price for the Solana ETP is set by using the average price of the underlying SOL/USD from the four most liquid exchanges on the market. According to a market fact sheet, the dollar value of SOL/USD is then calculated into euros.

    The listing extends Valour’s recently launched Metaverse and Gaming Index ETP that tracks the top five digital assets related to the virtual world. Indeed, Europe appears to be making significant headway ahead of other regions in crypto ETP listings, following multiple companies’ products on various exchanges around the continent.

    “We look forward to continuing to provide investors access to industry-leading ETP’s on regulated exchanges throughout Europe,” said Russell Starr, Defi Technologies CEO. “We also look forward to introducing several new products in the coming days and ultimately launching all our products on the Euronext exchange, the fourth largest exchange in the world.”

    As reported before, leading NFT marketplace, OpenSea is reportedly preparing to feature NFTs on the Solana blockchain soon. With NFTs hosting over $17.5 billion cumulatively, the addition of Solana-based NFTs to Opensea might explode it furthermore.

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