Amun AG Releases First of a Kind Tezos ETP
The Tezos product traded on the SIX exchange will offer passive income through the native blockchain for XTZ.
Amun AG, the builder of crypt-based exchange-traded products (ETP) released another offering to be traded on the Swiss SIX exchange. The latest ETP is based on Tezos (XTZ), one of the most ambitious blockchain projects.
The move on the side of Amun arrives after XTZ built up enough liquidity, based on multiple exchange launches and a robust market on Coinbase and Coinbase Pro. In fact, Coinbase Custody is key to the creation of the Amun Tezos ETP (trading under AXTZ ticker).
The underlying XTZ assets, held as backing to AXTZ, are held with Coinbase Custody, thus participating in “baking” and generating new coins. This activity offsets inflation on the Tezos network, while generating passive income for the holders of the AXTZ asset. Thus, the underlying coins held in custody are constantly growing, along with the potential gains from the ETP itself.
“For the first time, institutions as well as retail investors can invest in one of the most promising public blockchains, the Tezos network with a PoS concept and consensus mechanism via our ETP and participate in the associated rewards for contributing to the security and stability of the Tezos blockchain – without the need to ever have to set up a crypto wallet or taking care of a private key,” said Hany Rashwan, CEO of Amun.
XTZ was created after one of the largest ICOs in history. The Tezos project took a while to take off, as a dispute raged over the ownership of the code. But now, baking has taken off, and XTZ has gained liquidity. This led Amun to choose XTZ for its ninth ETP.
Following the news, XTZ traded at $1.11, slightly down as markets corrected on Thursday.
Amun has also expanded the offerings of its ETPs, launching the trading for all products denominated in Euro through the Stuttgart Stock Exchange. The offering is unique, spreading a tool to invest in crypto price movements, while not holding the assets outright. Amun and the market platforms offering the products also create a highly liquid, transparent, and fully legal environment to trade the funds.
Amun’s move also establishes Europe as one of the more promising region for renewed interest in crypto assets.