06.10.2022

ETC Group Expands Institutional-Grade Liquidity Pool

06.10.2022
Shanny Basar
ETC Group Expands Institutional-Grade Liquidity Pool

ETC Group, Europe’s leading specialist provider of institutional-grade, digital asset-backed securities, announces that Enigma Securities, a full-service international financial services firm for digital assets liquidity and advisory, has been appointed as Authorised Participant. 

ETC Group has an ongoing process to identify and add to its range of liquidity partners, to constantly build on trading quality for its product suite. Enigma Securities will facilitate note share creation and redemption process for ETC Group’s products, leveraging its existing operational and regulatory infrastructure in cryptocurrency securities. 

Leveraging technology infrastructure built to compete on global stock exchanges, Enigma has rapidly become one of the most competitive participants in the digital asset market with its proprietary trading platform. The ETC’s Authorised Participant status will strengthen Enigma’s European presence, offering deeper liquidity and greater efficiency when transacting with global clients.

Recent research shows that, as of January 2022, derivatives accounted for 60% of the total trading volume in crypto assets. The growing crypto derivatives market allows more options for investors managing and mitigating risk in their digital asset portfolios by opening up broad and deep liquidity pools – a core feature of ETC Group’s exchange traded crypto (ETC) offering with Authorised Participants. 

ETC Group’s Physical Bitcoin ETC known under its ticker BTCE (ISIN: DE000A27Z304) has traded a daily average of $19 million on Deutsche Börse XETRA alone in the past 6 months and is the underlying asset for Europe’s first Bitcoin Futures.

Olivier Sultan, Head of Investment Products at Enigma Securities commented: “We are looking forward to building a strong partnership with one of the biggest ETP providers in the industry. Through our unique cross-functional position as an appointed representative of Makor Securities London Ltd, an FCA-regulated brokerage firm, we are able to continue providing independent and competitive liquidity for high-volume crypto trades, as well as giving our institutional clients regulated access to an alternative source of digital-asset securities and future innovative products.”

Rafael Zanatta, Head of Business Development at ETC Group said: “We are pleased to welcome Enigma Securities as a new Authorised Participant given their extensive experience in crypto markets. Their support will further increase the liquidity of our products, including BTCE,  already the most liquid listed bitcoin ETN in Europe, reflecting their relevance and appeal to the wider institutional investment base.”

ETC Group’s institutional grade exchange-traded products are popular with a wide range of investors who want to continue investing through traditional financial markets while gaining access to the digital asset class. Investors can currently choose from 14 different ETCs at ETC Group in order to be able to participate in the price development of Bitcoin, Ethereum and other popular cryptocurrencies.

Source: ETC Group

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