Crypto Finance and Vinter have partnered to launch crypto ETPs for the developing digital asset market, with Crypto Finance providing a secure platform and Vinter collecting data for investable products.
To create cutting-edge crypto ETPs, Crypto Finance has partnered with Vinter, a Swedish startup index provider that collects information on digital assets from various sources and converts it into investable products. With its built-in platform, Crypto Finance offers secure access to managing, trading, and storing digital assets, aimed at professionalizing the developing digital asset market, earning recognition as one of the top 100 startups in Switzerland and top 50 blockchain businesses in Crypto Valley. ESMA credited Vinter for creating the first crypto indexes in the Nordic region and aims to play a significant role in the crypto-ETF market.
Two new cryptocurrency ETP
In collaboration with Vinter, Crypto Finance has produced two cutting-edge smart indexes related to cryptocurrencies.
The first index, known as VCFMOM, is based on weighting factors and includes on-chain information such as price trends and the number of active addresses, which serve as a proxy for active users.
The other, VCFWB3, chooses the cryptoassets that are powering the Web3 advance and weights them based on three variables: price momentum, social media interest, and market capitalization.
In order to stay up with the changing cryptocurrency market, both indices employ data from the blockchain as investment criteria. In other words, they use “fundamental analysis” data in addition to market data.
Thus, these indices are innovative because their structure allows more sophisticated investing techniques that may be customized to the sector’s fast-paced growth.
The objective is to give investors a secure and regulated way to get selective exposure to the developing bitcoin market.
The observations
CEO of Vinter Jacob Lindberg stated:
We are pleased to announce our collaboration with Crypto Finance, a prominent Swiss asset manager with an impressive track record in the e cryptocurrency industry. Vinter’s selection as the index provider for Crypto Finance’s inaugural two ETPs reinforeces our position as the leading provider of crypto indexes.
Head of asset management at Crypto Finance Stefan Schwitter continues:
Developing VCFMOM and VCFWB3 with Vinter has been a truly enjoyable journey for us. Vinter has been instrumental in delivering fast, accurate, and highly customized indexes that meet the specific needs of our clients. We are excited to continue collaborating with Vinter and look forward to launching more innovative products.
Crypto ETPs
An alternative method of investing in cryptocurrencies is through financial derivatives like ETPs.
First of all, they don’t demand that investors manage token custody or entrust them to a cryptocurrency exchange.
Additionally, they don’t require users to use crypto platforms, which they might not be familiar with, because they are items that can be found on regular trading platforms, which are commonly used by investors and traders.
And finally, as in this instance, they permit their managers to create additional sophisticated investment strategies that investors might exploit by purchasing comparable derivative financial products.
Finding alternative native crypto instruments in this situation is undoubtedly more challenging, unless you look at decentralized platforms that run fully unregulated.
These are undoubtedly things that cryptocurrency purists will not enjoy, but those who desire to continue trading in markets with strict regulations may find them more enticing.
