Key Points
- Valour has launched a fully backed Ethereum staking ETP on the London Stock Exchange.
- The ETP offers institutional investors passive, non-leveraged exposure to Ethereum and staking rewards.
Valour, a Swiss digital asset investment firm under DeFi Technologies Inc., has introduced a physically-backed Ethereum (ETH) staking exchange-traded product (ETP) on the London Stock Exchange.
Boosting Institutional Access to Decentralized Finance
This move is significant as it provides institutional investors with passive, non-leveraged exposure to Ethereum while allowing them to earn staking rewards.
In a press release dated Sept. 30, Valour confirmed that the product adheres to the Financial Conduct Authority’s regulations.
It is also backed by Ethereum held in cold storage by custodians Copper Markets AG.
Blockdaemon provides the staking services.
This launch comes after the London Stock Exchange provided guidance for admitting physically-backed crypto ETPs.
According to DeFi Technologies CEO Olivier Roussy Newton, this product bridges the gap between traditional finance and digital assets.
It provides institutional investors an efficient way to gain exposure to Ethereum and its staking benefits.
For Valour, this new product adds to the more than a dozen crypto-linked ETPs it already offers to investors.
This development is in line with recent trends in the U.S., where the Securities and Exchange Commission approved Ethereum spot ETFs in mid-July, albeit without staking rewards.
Staking yields for Ethereum, currently around 3.19% as per data from Staking Rewards, are predicted to gain prominence.
Analysts at FalcoX forecast a bull market driven by increased liquidity and favorable outcomes in the 2024 elections.