XBT provider Coinshares, headquartered in Sweden, had approximately US$202 million in XBT certificate swap transactions on the first day of the market in 2021. At the same time, on the same day, the trading volume of the Bitcoin exchange-traded product BTCE was US$100 million.
Coinshares Group is a European company dedicated to crypto-finance and exchange-traded products. The Bitcoin exchange-traded note (ETN) provider has been approved by the Swedish FSA, and the company’s digital currency ETN is traded on Nasdaq Nordic in Stockholm.
Coinshares said that on the first day of market transactions in 2021, the company’s Bitcoin certificate transaction volume reached a record $202 million. The company stated: “Coinshares has the largest trading volume among all European-listed crypto ETPs.”
Frank Spiteri, chief revenue officer at Coinshares, explained that the company sees huge demand, a large part of which comes from institutional investors.
“We see unprecedented interest from institutional investors in Bitcoin,” Spiteri said. “As wealth managers, private banks and European institutions want to add Bitcoin to their portfolios, our ETP is the logical choice.”
In addition to daily turnover of US$202 million, Coinshares also manages US$2.9 billion in assets. Coinshares CEO Jean-Marie Mognetti said that the company has changed in the past six months.
“In the past six months, the narrative surrounding Bitcoin has changed profoundly. Investors used to believe that there is a risk in allocating to Bitcoin. There is now a risk of not being allocated to Bitcoin,” Mognetti added.
Alternative investment opportunities from companies such as Coinshares, ETC-Group, Grayscale, etc. allow investors to gain exposure to Bitcoin without directly holding assets.
This week, ETP provider ETC-Group also saw BTCE (traded on the Deutsche Börse (XETRA)) exchange-traded product BTCE in 2021. On January 4, BTCE’s transaction volume reached a record of more than 100 million US dollars. Since its launch in June 2020, BTCE’s asset management scale has been approximately US$350 million.
Maximilian Monteleone, head of business development at ETC-Group, said: “As the price rose from US$20,000 in mid-December to US$31,000 yesterday, Bitcoin has aroused great interest.” As the government has launched a large-scale stimulus plan in response to the COVID crisis, investors are worried about the devaluation of major currencies, so investors seem to be turning to Bitcoin.”
What do you think of the record trading volume of products traded on Bitcoin exchanges? Let us know your thoughts on this topic in the comments section below.
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