SIX Swiss Exchange, Zurich-based stock exchange has announced the launch of an exchange-traded product [ETP] on its platform with Bitcoin [BTC] and Ether [ETH].
Bitcoin Suisse AG, a cryptocurrency custodian, and fintech firm Amun AG, has collaborated with the exchange to launch the ETP. The latest platform would pose beneficial to Swiss investors as it would permit them to add a basket of BTC, along with ETH into their portfolios. The platform currently constitutes 90% of Bitcoin and only 10% of ETH.
Amun AG is home to over seven cryptocurrency ETP products on the SIX exchange, namely, XRP-based ETP, an ETH-based ETP, a Bitcoin-based ETP, a Bitcoin Cash (BCH)-based ETP, the Amun crypto-basket index ETP, as well as the Amun Bitwise, select 10 large-cap crypto-index ETP.
Hany Rashwan, CEO and Co-founder of Amun AG, pointed out how the product has answered the demand for a Swiss Franc [CHF]-designated ETP, which is designed for the Swiss by the Swiss. Rashwan further suggested,
“It represents a unique way for investors to add the two major cryptocurrencies globally to their portfolio via a regulated product listed on SIX and backed by a Swiss-based custodian.”
The ETP can be recognized with the ticker symbol ABBA for trading on the exchange platform. Amun AG also acknowledged the latest addition of the product into the platform and said,
“This physically-backed ETP is fully collateralized, which means that for every bitcoin and ether bought for the ETP, there will be an equal corresponding crypto amount stored securely in the Bitcoin Suisse Vault.”
Previously, the Zurich-based stock exchange announced the launch of an “initial digital offering” [IDO] scheduled for sometime in 2020.
Bitcoin can reach $25K if usage crosses 1M people: Thomas Lee
Managing Partner and Head of Research at Fundstrat Global Advisors, Tom Lee, recently made an appearance on CNBC‘s ‘Street Signs Asia‘ segment to talk about Bitcoin price movements in the future. Lee also spoke about why he thinks Bitcoin will touch $25K by 2022.
According to Lee, for an industry that’s over a decade old, these are still early days for digital assets. However, as time passes, it will become very institutional, he said. Fundstrat’s Lee added,
“Over time, it’s going to become an asset class, and once we hit that it’s actually another hockey stick.”
When asked about his prediction for the king coin’s price, Lee said that it had been established back in 2017 as a five-year prediction. According to him, the predicted goal would be easy to achieve due to cryptocurrencies being network value assets — the more people that hold it, the greater its value.
“In fact, it’s a log function, so if you double the users you get a quadrupling of value, and to go to $25,000 you essentially need a 4x rise (a little bit less than that) which means you need to double the number of people who hold Bitcoin.”
According to Lee’s estimates, there are under half a million people in the world who own and use Bitcoin widely today. He also compared Bitcoin to Internet stocks such as FAANG and attributed 70% of their returns since the IPOs to the growth of the Internet over that period of time.
“So in other words, it was a log function of the Internet growth, and that’s how cryptocurrencies are going to work. That’s just saying if you take it to a million users, you could get to $25,000.”