The primary stock exchange in Switzerland, SIX Swiss Exchange, could list a cryptocurrency exchange-traded product (ETP) any moment from now that will monitor the price of XRP.
This was announced via a report published on Monday. The XRP ETP will be launched by Amun AG, a Swiss crypto startup, under the ticker “
A Previous ETP
SIX listed an Amun crypto ETP with the ticker “
Amun ensures that it’s crypto ETP is in agreement with the rules and policies governing traditional ETPS and the XRP ETP will definitely abide by the same rules.
“Unlike actual assets such as stocks or gold, an index doesn’t have its own
price,but displays a value representing the prices of an underlying group of assets according to its specific calculation methodology. For example, S&P 500 is calculated by taking the sum of the adjusted market capitalization of all S&P 500 stocks and then dividing it with an index divisor, which is a proprietary figure developed by Standard & Poor’s,” the company said.
SIX To Launch A Crypto Platform
As far as SIX is concerned, ETPs are not regarded as collective investment schemes. Therefore, approval from the Federal Financial Market Supervisory Authority (FINMA), the Swiss market regulator, isn’t needed for Amun’s ETPs. However, there are certain requirements the exchange insists upon for the protection of investors. One of them is for collateral to be provided for each unit of the ETPs as well as the provision of an equal amount of digital assets, which will be regularly monitored by the exchange.
SDX Coming Soon
SIX also has plans to launch a cryptocurrency platform named SDX later in the year using the blockchain. In addition to this, the exchange will use the blockchain technology to tokenize ETFs and stocks. Romeo Lacher, chairman of SIX, disclosed recently that no date has been fixed yet for the platform launch. This is because FINMA is yet to give its approval. The company has high hopes for its SDX digital exchange, expecting that in less than 10 years from now, it will blow its current marketplace out of the water.