Ethereum Gets Its First Exchange-Traded Product as CoinShares Launches Ether ETNs on Nasdaq Stockholm

On October 11, 2017, a landmark moment unfolded for the cryptocurrency industry as Ethereum received its first-ever exchange-traded product. CoinShares, through its subsidiary XBT Provider AB, launched two Ether-tracking Exchange Traded Notes (ETNs) on Nasdaq Stockholm, opening the door for traditional investors to gain exposure to the second-largest cryptocurrency without the complexity of managing digital wallets or private keys.

TL;DR

• CoinShares launched two Ether ETNs — Ether Tracker One (COINETH:SS) and Ether Tracker Euro (COINETHE:SS) — on Nasdaq Stockholm
• These are the first exchange-traded products tracking ether anywhere in the world
• The ETNs are denominated in SEK and EUR respectively, traded during normal market hours
• Nasdaq Stockholm becomes the only European exchange offering ETNs on both Bitcoin and Ethereum
• CoinShares now manages six professional-grade crypto investment vehicles

A Historic First for Ethereum

For over a year, European investors had been clamoring for a regulated, accessible way to invest in ether. CoinShares answered that demand with two structured products: Ether Tracker One, denominated in Swedish Krona (SEK), and Ether Tracker Euro, denominated in Euros. Both products track the price of ether through an index rate calculated daily as the average of the three most liquid cryptocurrency exchanges from a select group.

Laurent Kssis, Managing Director of XBT Provider by CoinShares, called the listing a major win for European investors. “As of today, if investors want hassle-free exposure to the price movements of ether, they simply call their broker or trade on their normal brokerage platform — that is truly remarkable,” Kssis said in the announcement. The simplicity of the product structure cannot be overstated: investors could now buy and hold ether exposure through the same brokerage accounts they used for stocks and bonds.

Nasdaq Stockholm: A Bridge Between Traditional Finance and Crypto

The significance of this listing extends beyond just the product itself. Nasdaq Stockholm, one of Europe’s premier exchanges, had already listed Bitcoin ETNs through XBT Provider approximately two years earlier. With the addition of Ether ETNs, it became the only European exchange offering investors regulated exposure to the two leading cryptocurrencies through a familiar exchange-traded structure.

Helena Wedin, Head of ETP Services Europe at Nasdaq, emphasized the importance of providing investors with the protection of a regulated infrastructure. “Trading Ether on Nasdaq Stockholm provides investors with the protection provided by a regulated infrastructure, well-known marketplace and accessibility through their ordinary brokers,” Wedin stated. Her comments highlighted a critical point: while cryptocurrency exchanges offered direct access to digital assets, many institutional and retail investors preferred the safety and familiarity of traditional market infrastructure.

CoinShares Builds the iShares of Crypto

CoinShares has been described as the “iShares equivalent for Crypto-finance,” and the launch of Ether ETNs further cemented that reputation. With six professional-grade crypto-investment vehicles in its portfolio, the firm now represented the most diverse investment product lineup available in professional crypto finance. Notably, it was the only way for European investors to add ether to their portfolios through an established exchange.

Ryan Radloff, Co-Principal at CoinShares, described the moment as historic for Ethereum and for the future of crypto-assets broadly. “It was a little over two years ago that the bitcoin ETNs began trading — offering investors exposure to bitcoin via an established exchange for the first time. Today, we are able to bring ether to the market and mark another major first,” Radloff reflected. His observation about the speed of maturation in the crypto space — less than eight years since Bitcoin’s inception — underscored the breakneck pace of institutional adoption.

Market Context

The launch came at a time when Bitcoin was trading at approximately $4,831 and Ethereum’s ether was priced around $302, according to Kraken’s daily market report. The total cryptocurrency market capitalization was surging, with Bitcoin alone commanding a market cap of over $80 billion. The broader market was experiencing a renaissance of interest, fueled by rising prices, increasing media attention, and the growing recognition that blockchain technology had applications far beyond digital currency.

Why This Matters

The CoinShares Ether ETN launch represented a pivotal step in the institutionalization of cryptocurrency. By wrapping ether in a traditional financial product listed on a regulated exchange, CoinShares effectively bridged two worlds that had long existed in parallel. Traditional investors who had been sidelined by the technical barriers of cryptocurrency custody now had a familiar on-ramp. The precedent set on Nasdaq Stockholm would echo through the years, paving the way for the eventual approval of Bitcoin and Ethereum ETFs in the United States and other major markets. For Ethereum specifically, the listing validated its status not just as a technological platform, but as a legitimate investable asset deserving of the same financial infrastructure as traditional commodities and equities.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Past performance is not indicative of future results. Cryptocurrency investments carry significant risk.