\n<\/p>\n
SHETH and CETH will join the firm\u2019s \u2018crypto winter\u2019 range<\/p>\n<\/p><\/div>\n
21Shares<\/a> has launched Europe\u2019s first short ethereum exchange-traded product (ETP) and the cheapest physically-backed ethereum product following the crypto\u2019s transition to a proof-of-stake protocol last week.<\/span><\/p>\n The 21Shares Short Ethereum ETP (SHETH) and 21Shares Ethereum Core ETP (CETH) have listed on the SIX Swiss Exchange with total expense ratios (TERs) of 2.5% and 0.21%, respectively.<\/span><\/p>\n SHETH will reset daily to offer -1x exposure to the price of ethereum. Like the 21Shares Short Bitcoin ETP (SBTC), it does this by borrowing the underlying currency and simultaneously selling it on an execution platform.<\/span><\/p>\n The firm said US dollars, USDC stablecoin and ethereum are considered eligible collateral for SHETH.<\/span><\/p>\n CETH offers physical exposure to ethereum and charges a fee 44 basis points below other products in the same category.<\/span><\/p>\n It does this by lending out a portion of its underlying assets and then holding segregated collateral in cold storage, subject to daily margin calls.<\/span><\/p>\n In the product\u2019s final terms, 21Shares said: \u201c<\/span>Through the use of certain collateralised lending arrangements used as<\/span>\u00a0collateral by the product, CETH is able to generate additional income\u00a0which allows the management fee to be 0.21%. No payments will be\u00a0made during the life of the product.\u201d<\/span><\/p>\n Eligible assets for CETH collateral are US dollars, USD coin and bitcoin.<\/span><\/p>\n Arthur Krause<\/a>, director of ETP product at 21Shares, added: \u201c<\/span>Now \u2013 especially given the level of interest in ethereum today \u2013 we wanted to provide investors with more options to enter the asset class with different products.\u201d<\/span><\/p>\n SHETH and CETH will join the firm\u2019s \u2018crypto winter\u2019<\/a> suite alongside its short bitcoin, core bitcoin and risk-managed bitcoin and ethereum<\/a> ETPs, which commenced in June.<\/span><\/p>\n