CoinShares Introduces Toncoin ETP as TON Market Value Falls Below $6 Billion
CoinShares has launched a new ETP for Toncoin, a cryptocurrency linked to Telegram, despite significant drops in its market valuation.
CoinShares Introduces Toncoin ETP as TON Market Value Falls Below $6 Billion
European cryptocurrency asset manager CoinShares has unveiled an exchange-traded product (ETP) focused on Toncoin, a digital asset associated with Telegram, amid a nearly 60% decline in the token’s value this year.
CoinShares International announced a partnership with Vine Hill Capital Investment Corp. to create this new investment vehicle, which trades under the ticker CTON on Switzerland’s main stock exchange, SIX.
Toncoin is the digital currency of The Open Network (TON), a blockchain designed to integrate seamlessly with Telegram. The token has suffered a significant loss, with its market cap decreasing by 59% to around $5.7 billion at the time of this report, according to CoinGecko.
2% Staking Yield
In a statement regarding the launch of CTON, CoinShares remarked, “With Telegram’s 900+ million active users and TON’s impressive performance of over 104,000 transactions per second, this blockchain combines superior technical capabilities with a vast existing user base.”
The new ETP offers automatic yield generation derived from network validation rewards, featuring a staking yield of 2%, with currency transactions conducted in US dollars.
Data on CoinShares Physical Staked Toncoin as of Wednesday
Data on CoinShares Physical Staked Toncoin as of Wednesday. Source: CoinShares
This is not the first instance of CoinShares incorporating TON into its crypto investment options; Toncoin is also included in the CoinShares Altcoins ETF (DIME), launched in early October, which provides exposure to various altcoins, including Solana, Polkadot, and Cardano.
In related news, Wallet in Telegram, a third-party crypto wallet app, has begun offering tokenized stocks and exchange-traded funds (ETFs).
Source: Wallet in Telegram
Source: Wallet in Telegram
Recently, Toncoin has shown a slight recovery, with a 5% price increase to $2.30 on Tuesday. Currently, it ranks as the 35th largest cryptocurrency by market capitalization according to CoinGecko.
