Swedish crypto asset management company Virtune announced the launch of the Stablecoin Index ETP on Nasdaq Stockholm, Nasdaq Helsinki, and Deutsche Börse Xetra.
Summary
- Swedish-regulated asset manager Virtune has launched Europe’s first stablecoin-focused exchange-traded product, the Virtune Stablecoin Index ETP.
- Backed by crypto assets held with Coinbase and listed across major European exchanges, the ETP reflects the growing institutional and retail interest in stablecoins, which are increasingly being adopted by banks and financial institutions across Europe.
On Nov. 5, the Swedish-regulated crypto asset manager unveiled its stablecoin index exchange-traded product in European exchanges. Launched under the Bloomberg ticker STABLE, the physically backed exchange-traded product offer investors exposure to a variety of blockchains and crypto assets that provide the infrastructure for and fuel the adoption of stablecoins.
The stablecoin-focused ETP is described as the “first of its kind” in Europe, debuting as STABLE on Nasdaq Stockholm, Nasdaq Helsinki with the ticker STABLEE and Deutsche Börse Xetra under VRTN. Investors can access the product through a number of brokers and banks, including Avanza, Nordnet, SAVR, Scalable Capital, Smartbroker and Finanzen Zero.
By investing in an index that exclusively focuses on the stablecoin ecosystem, investors will gain exposure to the blockchains and assets driving the industry forward. Not only that, it also reduces the risk of concentrating on a small group of assets by casting the net broadly upon the wider stablecoin market.
Head of ETF and ETP Services at European Markets Nasdaq, Helena Wedin, said that the Nasdaq exchange is committed to fostering innovation within a regulated and transparent marketplace. One of the ways is by introducing Virtune’s new product into the market.
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“The launch of the Virtune Stablecoin Index underscores the strong momentum in the ETP space and represents a significant milestone for both investors and the broader digital asset ecosystem,” said Wedin in her statement.
The Virtune Stablecoin Index ETP is available to both institutional and retail investors, giving them a chance to invest in the stablecoin industry through an exchange-traded product.
Within the past year, stablecoins have seen rapidly growing adoption from financial institutions eager to take advantage of the token to supply clients with 24/7 transactions as well as faster and cheaper cross-border transfer mechanisms.
In Europe specifically, the growth of stablecoins have paved the way for more banks to explore the possibility of launching their own stablecoin. Last September, nine European banks including UniCredit, Banca Sella, DekaBank, and ING announced plans to jointly launch a MiCA compliant euro-backed stablecoin.
At the moment, euro-backed stablecoins make up only a small fraction of the larger $306 billion stablecoin market value. According to data from CoinGecko, euro stablecoins have generated $606.6 million in market cap, with tokens like Circle’s EURC (EURC), Stasis Euro (EURS), and EUR CoinVertible (EURCV) leading the charge.
What does the Virtune Stablecoin Index ETP consist of?
The Virtune Stablecoin Index ETP is meant to capture the value generated from the rapidly growing global stablecoin market. Although the ETP itself does not hold stablecoins, it is structured to benefit from this underlying growth, reflecting the expanding role of blockchain infrastructure in global payments, banking, and digital commerce.
According to the official press release, the product is 100% physically backed by crypto assets securely stored with Coinbase in cold storage and will be rebalanced quarterly. Not only that, it also carries a 1.95% annual management fee and accepts trades in SEK and EUR.
As of Nov. 4, the index allocation includes blockchains that host stablecoins, with 42.9% of its allocated funds going into Ethereum (ETH), 23.5% into XRP, 18.43% distributed to Solana (SOL), 6.06% into Chainlink (LINK), 5.75% in Stellar Lumen (XLM) and around 3.36% of its funds going into the Aave (AAVE) blockchain.
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