Amun, a Switzerland-based issuer of exchange-traded products linked to crypto assets, has announced the launch of the Amun Bitcoin Cash ETP (ABCH SW) on SIX Swiss Exchange.
Hany Rashwan (l) and Roger Ver (r) celebrate the launch of the Amun Bitcoin Cash ETP (ABCH SW) with a market opening ceremony at SIX Swiss Exchange.
It is the first ETP globally to provide targeted exposure to changes in the value of Bitcoin Cash.
Bitcoin Cash is a cryptocurrency that originated as a spin-off from bitcoin in mid-2017 by miners and developers concerned with the future of bitcoin and its ability to scale effectively.
These developers prepared a code change – called a hard fork – which took effect on 1 August 2017. As a result, the bitcoin ledger called the blockchain and the cryptocurrency split in two. At the time of the fork, anyone owning bitcoin was also in possession of the same number of Bitcoin Cash units.
The technical difference between Bitcoin Cash and bitcoin is that Bitcoin Cash allows larger blocks in its blockchain than bitcoin, which in theory allows it to process more transactions per second.
The ETP’s performance is directly linked to Bitcoin Cash. It is fully collateralized, holding 100% of the underlying crypto asset at all times. Addressing safety concerns, Amun notes the ETP uses institutional-grade security using a variety of measures including cold-storage, multiple private keys, whitelisting, and audit trails.
It trades in US dollars on SIX and comes with a management fee of 2.50%.
The ETP has been seeded with 25,000 Bitcoin Cash (approximately $10 million) by Roger Ver, a prominent investor in bitcoin-related start-ups.
Ver said, “Bitcoin Cash is becoming a game-changer in the crypto ecosystem and beyond, and Amun will help solidify its global adoption. 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.”
Hany Rashwan, Co-Founder and CEO of Amun, added, “We are delivering our strategy, which is to provide investors with the wider product suite in the crypto-assets space, easily available on one of the most reputable market place, the Swiss Exchange. Thanks to this product, investors can now easily add Bitcoin Cash (BCH) to their portfolio.”
The launch represents the sixth crypto-asset ETP to be listed by Amun on SIX Exchange. Three of the other ETPs provide exposure to single cryptocurrencies – bitcoin, ethereum, and ripple – while the remaining two products track baskets of either five or ten leading crypto assets.