Digital asset ETP specialist 21Shares has unveiled two new industry-first ETPs.
The ETPs are the first globally to provide exposure to MANA and FTT.
The 21Shares Decentraland ETP (MANA BW) provides exposure to MANA, the cryptocurrency powering the 3D virtual world platform Decentraland.
The 21Shares FTX Token ETP (AFTT BW), meanwhile, is directly linked to the performance of FTT, the native token of the cryptocurrency derivatives exchange FTX.
The ETPs have been listed on BX Swiss and are available to trade in US dollars, euros, and Swiss francs.
MANA
Decentraland is a decentralized platform that allows users to create, experience, and monetize content and applications within a virtual reality world.
Decentraland opened to the public in February 2020 and has since sold more than $180 million worth of virtual ‘land’ on which users have created a variety of interactive experiences. The sprawling virtual world is divided into various districts representing different types of content such as journeys and games.
MANA, which runs off the battle-tested ethereum blockchain, can be used to purchase experiences within Decentraland as well as auxiliary goods such as avatars and wearables. MANA can also be burned to acquire LAND, a non-fungible token that designates land ownership within Decentraland.
Decentraland is user-owned in that holders of MANA tokens are responsible for governance decisions such as proposing and voting on policy updates, the specifics of upcoming LAND auctions, and the types of content that are allowed on the platform.
With a total market capitalization of $5.1 billion, MANA is currently the 31st-largest cryptocurrency globally.
FTT
FTX is a leading crypto derivatives exchange offering futures, options, volatility products, and leveraged tokens. It is the third-biggest token exchange with a daily trading volume in excess of $2.5 billion.
FTT, also an ethereum-compatible token, forms the backbone of the FTX ecosystem, allowing users to post collateral against their derivative positions. It also enables staking, trading fee discounts, and participation in community governance voting.
With a total market capitalization of $6.0bn, FTT is currently the 27th-largest cryptocurrency globally.
The 21Shares Decentraland ETP and 21Shares FTX Token ETP provide institutional investors with easy access to MANA and FTT through liquid, regulated vehicles without the technical challenges of setting up private keys or crypto wallets.
They use full direct, ‘physical’ replication with each ETP share being 100% collateralized by a corresponding investment in MANA or FTT which is stored using an institutional-grade custody solution provided by Coinbase.
Each ETP comes with an expense ratio of 2.50%.