Digital asset ETP specialist 21Shares has launched the world’s first ETP providing direct exposure to ATOM, the native cryptocurrency of the cosmos blockchain.
The ETP is the first to provide exposure to ATOM, the cryptocurrency underpinning the cosmos ecosystem.
The 21Shares Cosmos ETP (ATOM) has been listed on SIX Swiss Exchange with CHF, EUR, and USD share classes.
Cosmos is pioneering an ecosystem of parallel blockchains, including the two largest ecosystems of ethereum and terra, to help propel a decentralized, interoperable future using the Inter-Blockchain Communication (IBC) protocol.
To date, cosmos has integrated more than 262 applications and services with more than $155 billion in value locked in.
The ETP delivers a product for investors looking to capitalize on the growth trajectory of interoperable, decentralized blockchains that are empowering the early stages of the metaverse.
Cosmos was founded in 2016 by blockchain engineers Jae Kwon, Zarko Milosevic, and Ethan Buchman who, two years earlier, had co-founded Tendermint, a blockchain engine that served as the gateway for the cosmos ecosystem.
The cosmos ecosystem includes decentralized finance (DeFi) infrastructure and marketplaces, financial tools such as wallets and smart contracts, as well as gaming applications, and more. The most important innovation in the cosmos ecosystem is its ability to enable the use of the IBC protocol to allow blockchains to exchange value without surrendering their underlying assets.
The cosmos hub serves as the economic centre of the ecosystem by providing a next-generation decentralized digital asset exchange, a router between DeFi chains such as ethereum and bitcoin, an interchain security feature, and a custodian feature for digital assets.
With a total market capitalization of $8.0bn, ATOM is currently the 21st-largest cryptocurrency globally.
The 21Shares Cosmos ETP provides institutional investors with easy access to ATOM through a liquid, regulated vehicle without the technical challenges of setting up private keys or crypto wallets.
It uses full direct, ‘physical’ replication with each ETP share being 100% collateralized by a corresponding investment in ATOM which is stored using an institutional-grade custody solution provided by Coinbase.
The ETP comes with an expense ratio of 2.50%.
Hany Rashwan, CEO and co-Founder at 21Shares, said: “Cosmos has built a top platform that can empower everything from finance to the metaverse. We are thrilled to launch this product as we continue building widely accessible bridges into the crypto world.