VanEck to Offer Tron, Solana, Polkadot ETNs in Germany

Fast-growing digital asset sets are behind new ETNs issued by VanEck on the Deutsche Börse Frankfurt Stock Exchange.

article-image

Blockworks Exclusive Art by Axel Rangel

share

key takeaways

  • The “Solana summer” has turned into an institutional fall as VanEck, one of the largest ETF issuers prepares a Solana-backed ETN listing in Germany
  • Solana has been one of the fastest growing protocols this year, but was struck with a series of technical challenges this week

VanEck is now offering Tron, Solana and Polkadot ETNs in Germany as a way to allow investors to capture the momentum of layer-1 alternatives to Ethereum in recent months.

The ETF and mutual fund manager is looking to enter the crypto space from yet another angle. VanEck currently offers a Bitcoin Tracker Fund, which gives accredited US investors and qualified offshore investors direct exposure to the cryptocurrency.

Loading Tweet..

In June, 21Shares, a lesser-known issuer, launched a Solana Exchange Traded Product (ETP) on the SIX exchange in Switzerland. 

VanEck currently has an application in front of the SEC to launch an ETF in the US that would invest directly in bitcoin and has also filed for a bitcoin strategy fund that would invest in bitcoin futures contracts. It revealed plans last month to bring to market a futures-based ether ETF as well, but quickly withdrew the request to the SEC.  

Matthew Sigel, VanEck’s head of digital assets research, told Blockworks last month that the proliferation of competing layer-1 smart contract platforms has come about amid a higher demand for transaction prices and throughput that are lower and faster than what the Ethereum network provides. 

There are about half a dozen layer-1 smart contract protocols with the track record, size and community engagement to perhaps someday rival Ethereum, he noted at the time, pointing specifically to Solana. 

“The idea that you could get 50,000 transactions per second, which would rival Nasdaq, opens up the potential to just securitize any number of existing assets, tokenize them and trade them in parallel using the Solana network,” Sigel explained.

Tushar Jain, a managing partner at Multicoin Capital, said during a panel at Blockworks’ recent Digital Asset Summit in New York City that Solana was one of his firm’s “big bets” in the DeFi space.

Solana is currently trading for $158, down 2% through the weekend and 11% on-week, according to CoinGecko, as the protocol struggles to regain the market’s confidence after technical issues put a halt to on-chain activity earlier this week. 

This story was updated on September 20, 2021, at 1:26 pm ET.


Are you a UK or EU reader that can’t get enough investor-focused content on digital assets?Join us in London on November 15th and 16th for the Digital Asset Summit (DAS) London. Use code ARTICLE for £75 off your ticket. Buy it now.


Tags

Upcoming Events

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Screen Shot 2024-05-16 at 14.53.45.png

Research

Loss-versus-rebalancing (LVR) is arguably Ethereum DeFi’s biggest problem, and thus reducing LVR is fundamental to the success of Ethereum. This report dives into the world of LVR. We uncover its importance for AMM designers, discuss the two major mechanism design categories and various projects developing solutions, and offer a higher level perspective on the importance of AMMs in general.

article-image

NYAG announced details about its settlement with bankrupt lender Genesis on Monday

article-image

The $948 million of inflows from May 13 to May 17 roughly equaled the net money that left the fund category over the five prior weeks

article-image

A Goldman Sachs alum will take over as CEO in August

article-image

And, the US Congress drew headlines last week as it moved crypto-friendly regulation to completion

article-image

Humanity Protocol also announced a $30 million round, giving the Worldcoin competitor a $1 billion valuation

article-image

Bitcoin miner Bitfarms cuts ties with its chief executive; Vanguard’s incoming leader could spur the firm to re-evaluate its crypto stance, some say