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FTX and CoinShares launch physically staked Solana ETP

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CoinShares, one of the largest crypto investment firms in Europe, and crypto exchange FTX have joined forces to launch a new physically backed Solana (SOL) Exchange Traded Product (ETP).

The new product, titled CoinShares FTX Physical Staked Solana, will launch with 1 million SOL seed capital, giving investors 3% in staking rewards, according to CoinShares official announced On Wednesday. The new cryptocurrency ETP is the first initiative between FTX and CoinShares.

The product is listed on Germany’s largest digital market Xetra and is the fourth ETP CoinShares has launched in 2022. The company before started the CoinShares Physical Staked Cardano ETP in early March, after trading of the CoinShares Physical Staked Tezos ETP and the CoinShares Physical Staked Polkadot ETP started in January.

Similar to previously launched staking ETPs, the new CoinShares FTX Physical Staked Solana features a unique staking mechanism that allows issuers to share staking rewards with investors by lowering the management fee and increasing the ETP’s coin entitlement every day .

“Staked coins do not move from the secure custodian where they are held and the ETPs remain 100% physically secured at all times,” CoinShares noted in the announcement.

FTX CEO Sam Bankman Fried Noting that the recent ETP launch follows the launch of FTC Access, a new tool that combines the expertise behind FTX and FTX US to provide global institutional clients with access to digital asset products, adding:

“The goal of FTX Access is to cost-effectively bring institutional quality services and products to market. CoinShares has a proven track record of providing innovative and regulated crypto asset investment vehicles to European investors for almost a decade.

Related: The SEC is advancing decisions on WisdomTree and One River filings for spot Bitcoin ETFs

The message comes shortly afterwards FTX officially announced expansion in Europe In early March after receiving approval from the Cyprus Securities and Exchange Commission. Also, in mid-March, one of the fastest growing cryptocurrency companies in the world, FTX won a license in Dubai to open local headquarters and offer crypto derivatives products.