A new Bitcoin Cash-based exchange-traded product (ETP) is now available on the Swiss stock exchange SIX, under the name “Amun Bitcoin Cash (ABCH) ETP.”
Amun AG, a Swiss fintech company that raised $4 million in March, rolled out the product on Friday as part of its mission to create more financial on-ramps for crypto investments and to make buying cryptocurrencies such as Bitcoin Cash as easy as buying stocks. The company hopes to simplify the process of investing in crypto by establishing familiar channels for traditional and institutional investors. The Bitcoin Cash ETP is Amun’s sixth crypto asset tracker listed on SIX and is billed as the first Bitcoin Cash product in the world traded on a physically-backed exchange.
The Bitcoin Cash ETP, like Amun’s other products, will incur a 2.5% management fee, which includes custody, insurance and re-balancing costs.
SIX listing rules require ETPs to be collateralized in order to meet regulatory demands for consumer protection. ABCH will be fully collateralized and will be denominated in US dollars. Amun also says its custody solution uses a variety of security measures including cold storage, multiple private keys and the use of whitelists and audit trails to secure client funds.
“Amun holds the underlying cryptoactivity in a ‘cold storage’ equal to 100% of the value of the notes at any time.”
Bitcoin.com chief operating officer Roger Ver has seeded the new investment instrument with 25,000 BCH worth roughly $10 million.
“As Bitcoin Cash is becoming a game changer in the crypto space and beyond, I believe Amun has the credential to carry out our objective, a global adoption of Bitcoin Cash. We are confident that our investment in the new Amun BCH ETP will set the example and drive more investors to join the growing community which believes in the success of Bitcoin Cash.”
The Zurich-based fintech company launched an XRP-based ETP in April, as well as Bitcoin and Ethereum-based ETPs in March.
In addition to the latest Bitcoin Cash product, Amun plans to release ETPs for Litecoin, EOS and Stellar Lumens before the end of 2019.