Bank Frick and Bitcoin Suisse Launch Crypto Certificate as a Classic Security and ERC20 Token
Liechtenstein-based private bank Bank Frick and Bitcoin Suisse have launched an active BTC-ETH tracker certificate that is available in traditional equity format and an ERC-20 token targeted at professional investors, this according to an official press release April 9, 2019.
A New Crypto Tracker
The BTC-ETH tracker, which tracks the performance of bitcoin (BTC) and ether (ETH) for a two-year term, is actively managed by an investment committee formed by Bank Frick and Bitcoin Suisse that decides on the two cryptocurrencies’ weightings on a quarterly basis. At the launch of the certificate, the two cryptocurrencies are equally weighted,
Bitcoin Suisse acts as the prime broker for the certificate, which means it is responsible for the buying and selling of BTC and ETH in the spot market. The Swiss blockchain startup also handles the safekeeping of the cryptoassets through the use of cold storage combined and MultiSig wallet solutions. Bank Frick is responsible for the issuance of the tracker certificates, which exclusively targeted at qualified and institutional investors.
Stefan Lütolf, Head of Trading & Brokerage at Bitcoin Suisse, is pleased about the issuance of the new tracker, stating:
“With the active BTC-ETH tracker, we demonstrate our joint expertise and provide investors with a new form of capital market access,”
Interestingly, the new BTC-ETH Tracker will be available as a traditional financial security and as a digital token in ERC-20 format.
Raphael Haldner, Head of Funds and Capital Markets at Bank Frick, said:
“The product’s design demonstrates the innovative capacity that links Bank Frick and Bitcoin Suisse. With our certificate, professional market participants benefit from a future-oriented capital market solution.”
Bank Frick – The Crypto Bank
The launch of the BTC-ETH Tracker Certificate is not Bank Frick’s first foray into the cryptoasset markets. Bank Frick has been offering access to cryptoasset investing since early 2018 to “professional market participants and financial intermediaries” when it launched its digital asset trading desk.
Currently, as part of its crypto trading services, the private bank enables direct investment in a range of digital currencies and tokens including bitcoin, litecoin, and ether, as well as offering a cold storage solution for its crypto trading counterparties.
Additionally, Bank Frick has launched blockchain-focused subsidiaries early this year; a blockchain incubator and accelerator called Distributed Ventures AG and a venture aimed at providing institutional investors with regulated access to digital assets, called The DLT Markets AG.