Global investment manager – VanEck – has expanded its cryptocurrency offerings by adding two new exchange-traded notes (ETNs) that track the performance of Avalanche and Polygon. The company has already launched such products on Bitcoin, Ethereum, Polkadot, Solana, and Tron.
Avalanche And Polygon ETNs Joined The List
The global investment management company – VanEck – disclosed the news in a recent post on Twitter. As a result, investors will be able to gain exposure to Polygon (Matic) and Avalanche (AVAX) without the necessity to purchase the digital assets directly.
The ETN VanEck Vectors Polygon (ticker: VPOL) is fully guaranteed and invests in MATIC (the network’s native token). The exchange-traded note offers direct exposure to the digital asset, is 100% backed by Polygon, and is stored in a cold warehouse at a “regulated crypto custodian with crypto insurance.” VPOL is also tradable as an ETF on regulated trading platforms.
The VanEck Vectors Avalanche ETN (ticker: VAVA) operates identically. However, the company described it as “unique for its fast speeds and light hardware specs.”
Polygon and Avalanche joined Bitcoin, Ethereum, Polkadot, Solana and Tron while VanEck also added ETNs on these digital assets.
Launching cryptocurrency Exchange-Traded Products by investment companies has become increasingly popular in the last months. A few days ago, the Swiss-based financial services firm – 21Shares – listed Bitcoin and Ethereum ETNs on Nasdaq Stockholm.
VanEck was rejected
A few months ago, the company applied for approval from the Securities and Exchange Commission to launch a Bitcoin Strategy Exchange-Traded Fund. The product was believed to contain BTC futures, BTC funds, and various other investment instruments related to the largest digital asset. This was not the first time the company has submitted BTC ETF applications to the agency, but so far to no avail.
In November, the top financial regulator once again rejected the firm’s ambitions. The SEC explained that VanEck was unable to address previous hurdles, which were “designed to prevent fraudulent and manipulative acts and practices” and “to protect investors and the public interest.”
Subsequently, Commission Chairman Gary Gensler claimed that a futures-backed ETF would be safer for investors, and that is why only these funds have been given the green light so far in United States.
