Digital asset ETP issuer Valour, a subsidiary of NEO-listed DeFi Technologies, has introduced the world’s first crypto ETP providing exposure to UNI, the native token underpinning the Uniswap network.
Diana Biggs, CEO of Valour.
The Valour Uniswap ETP has been listed on Börse Frankfurt in euros and on the Nordic Growth Market in Swedish krona.
The ETP offers investors access to the price performance of the UNI token through a liquid, regulated vehicle without the technical challenges of setting up private keys or crypto wallets.
The ETP comes with a management fee of 1.90%.
Uniswap
Uniswap is one of the largest decentralized cryptocurrency exchanges globally. Operating on the Ethereum blockchain, Uniswap uses smart contracts to facilitate automated transactions between any pair of Ethereum-compatible tokens.
Uniswap users may create liquidity pools of tokens they are willing to trade. Other users who then wish to trade with a liquidity pool enter into a smart contract that uses automated market-making technology to algorithmically determine the best execution price.
Uniswap charges users who trade with liquidity pools a transaction fee of 0.3% which is entirely and proportionally distributed amongst the users who contributed to that liquidity pool – Uniswap does not pocket any of the fees.
UNI is a governance token that was launched in September 2020 when Uniswap ‘airdropped’ 400 UNI tokens to anyone who had used the platform prior to that date.
UNI holders can vote on project developments or use their tokens to fund liquidity mining pools, grants, partnerships, and other growth-driven initiatives.
Although UNI serves as a governance token on the Uniswap platform, investors can also trade the token on exchanges and treat it as a speculative investment.
Russell Starr, Executive Chairman and CEO of DeFi Technologies, said: “This is the first-ever Uniswap ETP being offered to the investing public on traditional equity exchanges. With a market capitalization of over $16 billion, Uniswap is one of the largest and most traded DeFi protocols. We anticipate positive investor interest in our Uniswap ETP which should also compound Valour’s AUM growth and create value for our shareholders.”
Diana Biggs, CEO of Valour, added: “The future of financial services is being built on open, interoperable protocols, and Uniswap is a fantastic example of that. At Valour, our mission is to provide investors with the opportunity to gain exposure to these areas of innovation, in particular to decentralized finance. Our Uniswap ETP, the world’s first, will do just that. We are encouraged by the continued growth of DeFi and are working hard to bring more products such as Valour Uniswap to market, making this important ecosystem of innovation available via mainstream investment channels.”