ETC Group has launched a bitcoin ETP that calculates its net-asset value (NAV) three times a day, in a move to “extend” liquidity across US, European, and Asian spot prices.
The ETC Group Core Bitcoin ETP (BTC1) is listed on Deutsche Boerse with a total expense ratio (TER) of 0.30%.
Physically-backed, BTC1 tracks three bitcoin price benchmarks including the CME CF Bitcoin Reference Rate index and its US and Asian equivalents.
The ETP uses a “tri-NAV” valuation that calculates prices three times a day, allowing for extended trading beyond standard exchange hours.
Investors can track bitcoin’s fair price, which trades around the clock, across 14 hours versus eight hours for regular ETPs and ETFs.
As a result, investors can trade their holdings over a longer period on the primary market versus other physical bitcoin ETFs.
Tim Bevan (pictured), CEO at ETC Group, said: “BTC1 addresses the liquidity challenges institutional investors face with existing bitcoin ETPs, which are confined by traditional stock exchange trading hours.
“This extended liquidity window enhances price transparency and risk management capabilities for institutional investors.”
The launch coincides with concerns over a lack of market makers for crypto ETPs in Europe.
Elsewhere, ETC Group recently launched an ethereum staking exchange-traded product (ETP), capturing the price of ethereum as well as additional staking rewards.
