Crypto ETP issuers 21Shares AG has announced the listing of the world’s first crypto ETP on the Terra blockchain in CHF, EUR, and USD on SIX Swiss Exchange.
The firm writes that Terra (ISIN: CH1145931015, Ticker: LUNA) is the world’s second-largest ecosystem after Ethereum, with USD18.8 billion in total value locked (TVL). TVL is the key metric to describe the number of assets being staked in a blockchain protocol, the firm says.
21Shares Terra ETP provides a solution for investors looking to gain access to an alternative ecosystem that is not based on the Ethereum Virtual Machine (EVM). Terrafor Labs was founded in 2018 by Daniel Shin, co-founder of TicketMonster, a South Korean e-commerce platform, and by Do Kwon, a former Microsoft and Apple software engineer.
The Terra ecosystem includes DeFi (Decentralised Finance) infrastructure, financial tools applications, and NFT solutions. The most important innovation in the ecosystem is its DeFi solution Anchor. The Anchor protocol generates very attractive yields for investors with borrowing and lending solutions.
The firm writes that the underlying Terra blockchain technology allows up to 10,000 transactions per second (TPS) and with a transaction time of two seconds. In contrast, Ethereum processes 15-30 transactions with a transaction time of over one minute . Finally, the transaction costs are very low.
Hany Rashwan, CEO 21Shares says: “We have been following the Terra ecosystem for a long time and have been very impressed with its development and traction. We are thrilled to offer investors the world’s first listed ETP tracking this innovative product.”
As of January 2022, 21Shares manages more than USD2+ billion in 22 cryptocurrency ETPs and 83 listings, including the world’s only ETPs tracking Binance, four Crypto Index Baskets and two ETPs with investor staking rewards (Tezos and Solana). Its products are listed on 10 regulated European and Swiss trading exchanges.