Digital asset ETP specialist 21Shares has launched the world’s first crypto ETP providing direct exposure to SAND, the native token underpinning The Sandbox metaverse.
The Sandbox is a metaverse enabling the creation and monetization of user-generated content.
The 21Shares The Sandbox ETP has been listed on BX Swiss (SAND BW) and Euronext Amsterdam (ASAND NA) in US dollars and on Euronext Paris (ASAND FP) in euros.
The Sandbox is a decentralized virtual world wherein participants can create and monetize artistic content and gaming experiences. The Sandbox metaverse can be accessed via mobile phone or PC and currently has more than two million registered users.
There are three main functionalities within The Sandbox – VoxEdit, Marketplace, and Game Maker – which collectively provide a complete toolkit for user-generated content.
VoxEdit is a convenient voxel (a voxel is a single 3D unit of graphic information) modeling platform allowing users to create 3D objects such as avatars, animals, vehicles, and so forth. Created objects, known as ASSETS, are uploaded onto The Sandbox Marketplace and sold as non-fungible tokens.
The Game Maker streamlines the creation of interactive games and experiences using visual scripting tools. Users wishing to create games will typically purchase LAND, another non-fungible token that designates land ownership within The Sandbox.
SAND, built on the battle-tested Ethereum blockchain, is the token that forms the basis for all transactions and interactions conducted within The Sandbox including accessing games and experiences and buying ASSETS and LAND.
SAND is a governance token, allowing holders to participate in voting decisions related to the future development of The Sandbox. It also works off the proof-of-stake model, allowing SAND holders to earn staking rewards by staking their tokens in order to secure new transactions on the blockchain.
With a market capitalization of $3.5 billion, SAND is currently the 39th largest cryptocurrency globally.
The 21Shares The Sandbox ETP offers institutional investors easy access to the SAND token through a liquid, regulated vehicle without the technical challenges of setting up private keys or crypto wallets.
It uses full direct, ‘physical’ replication with each ETP share being 100% collateralized by a corresponding investment in SAND which is stored using an institutional-grade cold-storage custody solution provided by Coinbase.
The ETP comes with an expense ratio of 2.50%.
The 21Shares The Sandbox ETP represents the 30th crypto ETP to be introduced on the 21Shares platform with the firm’s suite collectively housing nearly $3bn in assets.
Hany Rashwan, CEO and co-founder of 21Shares, said: “The launch of our 30th product is an important milestone in our history as an innovator in the crypto industry. It is a testament to the quality of the team we have built, and our position at the forefront of the acceleration of the global blockchain movement, that we have achieved this growth in scale in four years.
“We are committed to making crypto accessible for everyone and continuing to offer best-in-class products to our investors is true to that vision. This is just the beginning.”