Figment and Apex Group launch Ethereum and Solana ETPs through Issuance.Swiss AG – Creating Broader Access to Staking Rewards
- Figment Europe is proud to power staking for Issuance.Swiss AG and the Ethereum and Solana staked ETPs on SIX Swiss Exchange
- Swiss AG’s ETPs allow convenient access to staking rewards through traditional brokers or banks, lowering the entry barriers for a wider audience
- Full collateralization of physical ETH/SOL and on-exchange liquidity provision allows conservative institutions to hold the asset class via the ETPs
Global, 12 March 2024
Figment Europe Ltd., a leading institutional staking services provider for institutions, and Apex Group, through Issuance.Swiss AG, are delighted to announce the launch of two exchange-traded products (ETPs) on SIX Swiss Exchange. Figment Ethereum Plus Staking Rewards (ETHF, ISIN CH1327686031) and Figment Solana Plus Staking Rewards (SOLF, ISIN CH1327686049) are fully backed by Ethereum and Solana, respectively, and powered by Figment’s industry-leading staking infrastructure. Both products aim to provide exposure to the underlying crypto asset plus the rewards generated through staking, including maximum extractable value (MEV).
Powering the issuance of the ETPs is Issuance.Swiss AG, a Swiss turn-key solution for financial product issuances provided by Apex Fund Services. This partnership combines Figment’s technological staking expertise with Issuance.Swiss’s leading financial product issuance program, introducing a groundbreaking approach that brings institutional staking capabilities to the familiar ETP vehicle.
Staking rewards for a wider audience
The ETPs make it easier for investors to access staking rewards from the top proof-of-stake crypto assets. With an ETP structure, the product benefits from full collateralization and over 50% staking utilization, returned to investors. Figment Europe’s infrastructure allows the products to capture rewards from blockchain consensus, including new token issuance, transaction fees and MEV - a key differentiator that ensures investors receive the maximum potential of rewards. On-exchange liquidity is guaranteed by the existing ETP market makers. This allows conservative institutions to safely hold this asset class via an ETP without directly funding Ethereum or Solana validators. Both products will have a competitive management fee of 1.5%.
First of its kind total return benchmark rate
Both ETPs track an index provided by MarketVector. In particular, the MarketVector™ Figment Ethereum Reward Index (MVETHF) is a true total return index, and ETHF is the first product of its kind to use an index capable of tracking all sources of rewards that validators earn on both the consensus layer and execution layer, including MEV. The index measures the price performance of ETH along with the staking rewards earned by the product, using Figment's leading network wide rewards indexing capabilities. Importantly, the index is highly adaptable, offering the capability to dynamically modify the proportion of staked assets, the compounding frequency, and staking fees throughout the lifetime of the ETP product. This level of customization ensures that the index can promptly respond to changes in market conditions and investment strategies, maintaining its relevance and effectiveness.
“We have worked hard to be in a position to support the launch the first Ethereum and Solana staked ETP by Issuance.Swiss AG on a regulated trading venue here in Switzerland.” Lorien Gabel, CEO of Figment says. “Our objective is now near complete and marks an important step towards the introduction of staking products in conventional ETP form for the still-nascent crypto market. I am proud that the Figment team continues to pioneer innovation and bring institutional-grade staking products to the market.”
Bruce Jackson, CFA, Chief of Digital Asset Funds and Business with Apex Group commented “Apex congratulates Figment and Issuance.Swiss on this very innovative product launch. Issuance.Swiss AG, our automated Digital Asset ETP issuance platform, has enabled the group to accelerate their time-to-market for this ETP, and manage issuance costs, maximizing returns for their clients.
Eva Lawrence, Head of Figment Europe, comments: “We remain committed to the unprecedented demand we are seeing from institutional investors wanting staking exposure. Figment remains ahead of the curve for delivering access to staking allowing to create innovative yet simple staking products for the financial markets. Our expertise and experience reflect the clear advantage we have over other market participants.”
Josh Deems, Institutional Business Development Lead for Figment, added: “The popularity and interest in ETH and SOL has increased substantially over the past few months. However, it is still challenging for institutions to buy crypto and stake directly. The ETPs will contribute to an increased accessibility to staking rewards for a wide audience, and we at Figment are proud that Apex and Issuance.Swiss chose Figment to be part of this development.”
BBG Ticker ETHF - Figment Ethereum Plus Staking Rewards ETP
(ISIN: CH1327686031; Valor 132768603)
BBG Ticker SOLF - Figment Solana Plus Staking Rewards ETP
(ISIN: CH1327686049; Valor 132768604)
