Pando Asset has entered the European market with a crypto basket exchange-traded product (ETP).
The Pando Asset Crypto 6 ETP is listed on the Swiss SIX Exchange with a total expense ratio (TER) of 2%.
The ETP tracks the Vinter Pando Crypto Basket 6 index, which rebalances quarterly to capture the six largest crypto assets by market capitalisation.
The index overweights smaller constituents and currently allocates 39.6% to bitcoin, 27.3% to ethereum, 11.9% to binance, 8.1% to solana, 7.3% to cardano and 6% to polkadot.
Pando6 is fully collateralised and like other crypto exchange-traded notes (ETN) uses safety features such as multiple signature authorisation, whitelisting addresses, cold storage and an audit trail.
The ETP’s underlying index is reweighted based on asset returns, volatility, market cap and trading volume.
If the target number of eligible constituents is not reached, Vinter can choose to include non-eligible assets in the benchmark.
Stablecoins, index tokens, assets undergoing an Initial Coin Offering and those deemed fraudulent by regulators are currently excluded from the ETP’s investment universe.
Commenting on the launch, Junfei Ren, partner at Pando Asset, said: “Pando Asset’s mission is to allow investors to safely, easily, and efficiently participate in crypto assets without worrying about the storage of private key risks and systematic security issues.”
Jacob Lindberg, CEO of Vinter, added: “We hope that products such as the ETP will continue to bridge the gap between crypto as an asset class and those institutions that seek to invest in it.”
Pando6’s debut is just the latest in a suite of multi-asset ETPs tracking Vinter indices including nine products from 21Shares.