Ethereum ETN

ISIN: DE000A3GPSP7

  • Exposure to the second largest cryptocurrency and the largest digital platform
  • Can be bought through a bank or broker
  • Stored at regulated custodian, 100% collateralized by Ethereum
  • Tradeable like an ETF on regulated stock exchanges
  • 1% annual total expense ratio

Risk: You may lose money up to the total loss of your investment due to the Main Risk Factors described below and additional risks described in the sales prospectus.

Why Invest in the Ethereum ETN?

Ethereum is the fast-growing platform for digitizing physical assets – arguably a new frontier for finance and many other sectors. As the platform gains ground, its Ether currency is gaining value. VanEck's Ethereum ETN allows to invest in this growing ecosystem, in a comparable manner to a traditional ETF.

Adding Ethereum to a Portfolio

Even a small allocation to Ethereum would have improved a portfolio’s performance over the last few years. This exposure can be gained through VanEck's Ethereum ETN, in a similiar way to an ETF.

60% Equities / 40% Bonds Portfolio

x
x

*Equities are represented by the MSCI World NR USD Index. Bonds are represented by the Bloomberg Barclays Global Aggregate Corporate Index.

Source: Morningstar. The performance quoted represents past performance which is no guarantee of future results. Future performance may be lower or higher than current performance. Investment returns will fluctuate so that investors' shares, when redeemed, may be worth more or less than their original costs.

Diversifying Cryptocurrencies

Don’t put all your eggs in one basket, as the saying goes. This also holds for cryptocurrencies. If one currency goes up, the other may go down, and vice versa. Hence, a basket of cryptocurrencies is expected to have a lower volatility than a single cryptocurrency: diversification reduces risk.

As the graph shows, this has been true for Bitcoin and Ethereum. Technically speaking, the correlation for the period was 0.61. This means that owning Bitcoin and Ethereum would have reduced risk compared to only investing in one or another.

Daily Returns of Ethereum and Bitcoin

Source: VanEck Analysis, based on daily return data. Data for the period 1/1/2021 – 21/3/2021. Past performance is not a reliable indicator for future performance. This also holds for historical market data. Correlation levels may change over time.

Ethereum is Leading the Growth of Digital Assets