Amun, a Switzerland-based issuer of exchange-traded products linked to crypto assets, has announced the launch of the Amun BNB ETP (ABNB SW) on SIX Swiss Exchange.
Hany Rashwan, CEO of Amun.
The ETP provides exposure to BNB, a utility token offered by Binance, the largest cryptocurrency exchange in the world by trading volume and users.
Utility tokens are not traditionally designed to be long-term investments but rather are used to purchase goods and services offered by the issuer.
In the case of BNB, the token was initially created to pay for fees on the Binance exchange; however, it has since evolved into a widely used utility token with more than 120 applications across the global blockchain ecosystem.
In just two years since Binance’s initial $15 million token raise, BNB now has a total market capitalization exceeding $2.5 billion, making it the world’s eighth-largest crypto asset.
The ETP wraps the BNB utility token into a traditional financial structure, making it more accessible to the wider institutional and retail market. It comes with an expense ratio of 2.50%.
Hany Rashwan, CEO of Amun, commented, “It’s been tremendous to watch the fast ascent of Binance from its humble launch in 2017 to the leading position it commands today. We are so excited to partner up with the world’s largest crypto exchange and make their native token accessible to institutional and retail investors in the most secure, cost-effective, and regulated Swiss ETP.”
Changpeng Zhao, CEO of Binance, added, “Our partnership with Amun in launching the BNB ETP will provide investors with a new and regulated asset class with a unique dimension to utility tokens, making them more accessible and reliable through a traditional financial infrastructure. This will provide traditional investors access with diversified exposure and segue into the global cryptocurrency market and its innovative products.”
The launch represents the eighth crypto asset ETP to be listed by Amun on SIX Swiss Exchange. Four of the ETPs provide exposure to single cryptocurrencies – bitcoin, ethereum, ripple, and bitcoin cash – while the remaining three track baskets of two, five, and ten leading crypto assets.