CoinShares has launched two crypto exchange-traded products (ETP) tracking polkadot and tezos which share staking rewards with its investors.
The CoinShares Physical Staked Tezos UCITS ETP (XTZS) and the CoinShares Physical Staked Polkadot UCITS ETP (CDOT) are listed on the Deutsche Boerse.
Both ETPs have a potential total expense ratio (TER) of 1.5% which CoinShares said could be offset by the staking rewards at its discretion.
It added that investors can earn an additional yield of 3% for XTZS and 5% for CDOT through staking rewards.
Staking allows investors to contribute their assets to a large pool of digital currency, which then accrues additional yield by validating transactions on the relevant network.
The firm added all staked coins do not move from the custodian and remain 100% physically backed at all times.
Jean-Marie Mognetti, CEO of CoinShares, said: “Our past successes were closely correlated with the quality and the innovative essence of our technology platforms and infrastructures, always contributing to elevate trust, transparency and innovation as core principles of our ETP offerings.”
The launch brings the number of crypto ETPs on CoinShares physical ETP platform to six.
Last June, 21Shares launched the solana (SOL) ETP (ASOL) which provided additional yield to investors through staking rewards by validating transactions on the solana blockchain.
Last December, CoinShares partnered with digital wealth manager Scalable Capital to launch a new crypto platform offering investors access to digital asset ETPs.