Cryptocurrency investment product developer 21.co announced on Wednesday that one of its subsidiaries, 21Shares AG, has listed a bitcoin exchange-traded product on Nasdaq Dubai, making it the first physical-backed bitcoin ETP in the Middle East. Is.
According to a statement from 21.co, the 21Shares Bitcoin ETP, similar to the 21Shares Bitcoin ETP in Europe, trades under the symbol ABTC.
Binance, which was hired in the UAE this year to help shape virtual asset law in the Middle East business hub, is one of the major industry players drawn to Dubai by its ambitions to become a global hub. Cryptocurrencies
After the Dubai listing, 21Shares now has 46 commodities listed in seven countries, 21.co reported.
Swiss company 21.co secured $25 million in an investment round last month, valuing it at $2 billion, thereby claiming to be “Switzerland’s largest crypto unicorn.”
Due to the collapse of the digital currency market, several of its biggest players were forced to lay off hundreds of employees in order to cut costs.
ETP’s entry into the Middle East
The underlying security, an index or other financial instrument is tracked by an exchange-traded product. ETPs are traded on markets equivalent to stock exchanges, so their prices can change both day-to-day and intraday.
According to 21Shares CEO and co-founder Hany Rashwan, 21Shares ETPs help investors protect against market and price volatility because they are physically-backed ETPs – backed by the underlying bitcoin assets they track. They become collateral. He also noted that the ETP structure that 21Shares is launching has inherent risk mitigation.
Rashwan claims that they have been monitoring the market for some time and it is clear that regional demand for Bitcoin has made it the preferred digital currency at the moment. In addition, 21Shares cares about its investors and has the strongest appetite for Bitcoin. Bitcoin is traded in high volume compared to other digital currencies and offers higher market-making and liquidity opportunities.
However, this is the company’s first launch. We are now focused on launching and providing the best products and services to investors. We are committed to the UAE and the Middle East and North Africa region and hope to develop our offerings there over time.