Global X Bitcoin and Ethereum ETPs Now Available on London Stock Exchange
If you are looking to invest in Bitcoin and Ethereum through exchange-traded products, you now have a new option available on the London Stock Exchange. Global X, an asset management firm owned by Mirae Asset, has listed the Global X Bitcoin ETP and the Global X Ethereum ETP on the LSE, following similar moves by other issuers last month. These products are tailored for professional investors only, in compliance with FCA regulations.
Flurry of New Listings Despite Institutional Demand Challenges
Despite the challenges in attracting institutional demand for crypto products, there has been a flurry of new listings on the LSE. The lack of inflows has not deterred firms like 21Shares, WisdomTree, and Invesco from introducing new crypto exchange-traded products to the market. Invesco, for example, has listed the Invesco Physical Bitcoin ETP on the LSE last week, with a total expense ratio of 0.39%.
- 21Shares launched four new physically-backed crypto ETNs in May, including Bitcoin and Ethereum products.
- WisdomTree also listed Bitcoin and Ethereum ETNs in May.
- Invesco introduced a Physical Bitcoin ETP on the LSE with a low expense ratio.
Global X Leads the Way with Zero Fees
Global X has taken a bold step by dropping fees to zero on their Bitcoin and Ethereum ETPs listed on the LSE. These products, already available on the SIX Swiss Exchange and Deutsche Börse Xetra, are now offering UK investors a cost-effective way to gain exposure to the two leading cryptocurrencies. The Global X Bitcoin ETP trades under the ticker “BTCX” and the Ethereum ETP under the ticker “ETHX” on the LSE.
- Global X Bitcoin and Ethereum ETPs are now available on the London Stock Exchange with zero fees.
- Investors can access these products through secure and regulated exchange-traded wrappers.
- Rob Oliver, head of business development at Global X ETFs, emphasized the firm’s commitment to providing innovative investment solutions for European investors.
LSE Faces Challenges in Gaining Inflows
While the LSE has welcomed new crypto listings, providers have noted challenges in gaining significant inflows for these products. According to one provider, the slow uptake is due to the abundance of similar offerings already available in Europe. Despite this, providers like 21Shares remain optimistic about the potential for growth in the future.
- Existing products in Europe may be impacting the uptake of new LSE-listed crypto ETPs.
- Low volumes on LSE-listed products are attributed to investor preference for more liquid markets like Xetra.
- Professional investors are expected to seek out markets with higher liquidity for trading.
Hot Take: Exploring Crypto Opportunities on the London Stock Exchange
If you are a professional investor seeking exposure to Bitcoin and Ethereum through regulated exchange-traded products, the London Stock Exchange now offers new options for your investment portfolio. With Global X leading the way by dropping fees to zero on their Bitcoin and Ethereum ETPs, you have a cost-effective opportunity to tap into the potential of these digital assets. While challenges exist in gaining significant inflows for LSE-listed crypto products, the market continues to evolve, offering new opportunities for investors looking to diversify into the world of cryptocurrencies.
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