Valor, a subsidiary of DeFi Technologies, will debut its new carbon-neutral Bitcoin Exchange Traded Product (ETP) on the Frankfurt Stock Exchange. ETP debut – today, September 23.
Company position its ETP as a “sustainable and climate-friendly” Bitcoin exposure, and it has a 1.49% management fee. Alignment with global environmental goals and environmental, social and corporate governance (ESG) is reportedly achieved by funding certified carbon offset and offset initiatives to offset BTC’s carbon footprint.
To structure the ETP, Valor partnered with Patch, a platform that provides infrastructure for climate action and has previously worked with Andreessen Horowitz and other prominent institutional investors. The ad says:
“All investment-related carbon emissions will be automatically channeled to carbon-neutral production using the Patch API-based solution, which takes into account various data such as mining equipment efficiency, hash power distribution and carbon emissions data at a national level to estimate” Carbon emissions of Valor wallets.
Patch will be responsible for selecting projects based on their environmental integrity. These criteria will include “additionality, actual and verifiable consistency and non-negativity”.
The current Valor ETP software includes Valor Binance (BNB), Valor Uniswap (UNI), Cardano (ADA), Polkadot (DOT), Solana (SOL), Avalanche (AVAX), Cosmos (ATOM), and Enjin (ENJ). in 2022 the company announced this in March amounted to 274.2 million in managed assets.
Although the cryptocurrency markets have strengthened this year, the interest in crypto-related financial products is not going away. In July, Swiss cryptocurrency firm 21Shares launched two new ETPs that offer investors exposure to the major cryptocurrency BitcoinBTC) y ether (ETH), while seeking to smooth volatility by rebalancing assets to the US dollar.
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