Deutsche Borse has continued its venture into the crypto market. On April 14, this bank announced that an Exchange Traded Note (ETN) on Litecoin would be made available to traders.
On April 14, 2021, Deutsche Bourse announced about increasing its available cryptocurrency products on the platform. Traders could use Xetra and Borse Frankfurt for the first time ever to trade using an Exchange Traded Note (ETN) on Litecoin. The issuer of this note product is the ETC Group. This product will be traded under the symbol LTCetc.
Before issuing the Litecoin ETN, in January 2021, ETC Group started issuing a Bitcoin Exchange-traded product (ETP) under the symbol BTCE.
By using this product, investors will be able to trade with Litecoin on Xetra without creating crypto wallets. The use of Litecoin ETN has been approved by the regulated market at Frankfurt Stock Exchange, and Eurex Clearing has approved its use. Investors will now benefit from significant risk reduction.
Deutsche Bourse expansion into crypto
Deutsche Borse has made significant strides to be significant in the crypto market. In June 2021, this bank became the first global exchange platform to offer a centrally cleared trade for various trading products. Investors in the exchange can now pick from ten ETNs offered by Bitcoin, Ethereum, Bitcoin Cash, and Litecoin.
Because of these strategies, investors in this platform now have a secure avenue to trade cryptocurrencies. The Xetra market from Deutsche Borse is also gaining solid ground in the European market as a crypto ETN trading platform. Xetra currently has a monthly order book turnover of more than one billion euros and an average monthly trading volume of 6.5 billion euros.
The reason behind Deutsche Borse’s expansion into the crypto market is the increasing demand from investors. The boom in cryptocurrency prices has also contributed to this. In the financials for the last quarter of 2021, this Group recorded a 7% increase in FX revenues.
Growth trend of Litecoin
Litecoin is among the top ten best-performing cryptocurrencies in the world. Litecoin has a market cap of over $18 billion, and this is a 100% increase compared to January this year. As of April 14, Litecoin was trading at slightly above $270, which places it among the best weekly performers with a 20% gain.
Litecoin’s bullish trend is still expected by investors. The currency had hit a record high price of $331 in December 2017, and if the demand for crypto continued, this currency might continue increasing in value in the short term.