Ethereum and Solana ETPs to launch with Figment and Apex next week

FIGMENT Europe and Apex Group will be launching Ethereum and Solana exchange-traded staking products on Tuesday.

The institutional staking services providers will offer the ETPs on 'SIX Swiss Exchange' via Issuance.Swiss AG.

Both the Figment Ethereum Plus Staking Rewards (ETHF) and Figment Solana Plus Staking Rewards (SOLF) have been designed to present institutions with access to staking rewards through traditional brokers or banks.

“We have worked hard to be in a position to support the launch of the first Ethereum and Solana staked ETPs by Issuance.Swiss AG on a regulated trading venue here in Switzerland,” Figment CEO Lorien Gabel (pictured above) said.

“Our objective is now near complete and marks an important step towards the introduction of staking products in conventional ETP form for the still-nascent crypto market.”

Speaking to The Block, Gabel explained staking rewards on Ethereum and Solana were incentives received for locking up the respective cryptocurrencies to support the operation and security of the blockchain networks. He said Ethereum and Solana were prioritized for the ETPs due to strong demand from Figment customers.

“Our goal is to be the go-to staking option for institutions managing crypto-assets, offering seamless access through custodians, exchanges and portfolio management systems," he added.

"While we remain open to exploring other networks with our partners, our current focus is on optimising the ETPs for ETH and SOL.”

Figment's Institutional Business Development Lead - Josh Deems - pointed towards the notable growth of Solana and Ethereum providing the need for staking.

“The popularity and interest in ETH and SOL has increased substantially over the past few months,” he said.

“However, it is still challenging for institutions to buy crypto and stake directly. The ETPs will contribute to an increased accessibility to staking rewards for a wide audience.”

The Figment ETPs both come with a management fee of 1.5%.

“This product distinguishes itself from other staking ETP providers by prioritising transparency and rewards performance,” Gabel added.

“The ETHF product tracks a unique total rewards benchmark developed by MarketVector, utilising Figment's staking rewards rate. This benchmark, recognized as the first true total rewards index, ensures transparency by avoiding censorship of reward types like MEV.

“Figment's active involvement in staking the majority of ETH and SOL using its infrastructure reinforces its industry leadership in risk-adjusted rewards performance. As a result, the product anticipates offering a competitive rewards rate where 50% or more of the underlying asset will be staked and reinvested by the issuer back into the ETP.”