VanEck has launched a crypto leaders exchange-traded note (ETN) that tracks the six largest cryptocurrencies.
The VanEck Vectors Crypto Leaders ETN (VTOP) is listed on the Deutsche Boerse Xetra and SIX Exchange with a total expense ratio (TER) of 1.5%.
VTOP tracks the MVIS CryptoCompare Crypto Leaders VWAP Close index which offers exposure to a basket of the largest cryptocurrencies with the greatest liquidity and is fully collateralised.
Rebalanced monthly, the index currently tracks six crypto assets comprising of bitcoin, ethereum, solana, cardano, polkadot and Litecoin.
VanEck said it launched the product to simplify the investor process in the ever-expanding crypto space. It added it wanted to take advantage of more efficient cryptocurrencies “that extend beyond a sole function as a digital currency”.
Martijn Rozemuller, CEO of VanEck Europe, said: “Investors can use VTOP to invest in a diverse selection of cryptocurrencies more easily.
“They do not have to build their own portfolio and store individual coins in their own wallet but can benefit from the development of multiple assets through a single product, similar to an ETF, while spreading their investment risk.”
It follows the launch of two crypto ETNs in December tracking avalanche and polygon, taking the firm’s crypto ETN offering to eight products.