XBT Provider announces plans for Ether Tracker One and Ether Tracker Euro following Ethereum’s Merge
September 14 2022 - 7:39AM
XBT Provider announces plans for Ether Tracker One and Ether
Tracker Euro following Ethereum’s Merge
September 14, 2022 | STOCKHOLM, Sweden - XBT
Provider AB (Publ) ( the "Issuer") has today announced details of
the potential effects of Ethereum’s upcoming merge on two of its
ether-based securities.
The affected securities are listed below:
Ether Tracker OneNasdaq Ticker: ETHEREUM XBTBloomberg
Ticker: COINETH:SSISIN: SE0010296574
Ether Tracker Euro Nasdaq Ticker: ETHEREUM
XBTEBloomberg Ticker: COINETHE:SSISIN: SE0010296582
The Issuer has been closely following the developments in the
Ethereum protocol, with respect to both the proposed move (the
“Merge”) to a Proof of Stake consensus network (the “ETHPoS”) as
well as the proposed fork (the “Fork”) of the existing Proof of
Work consensus network (the “ETHPoW”). As a result of the
Fork, the Issuer understands that a new Digital Currency (“ETHW”)
will be created and distributed pro rata to all holders of the
existing Ether Digital Currency (ETH).
Although the Issuer, in accordance with the Prospectus, has no
legal obligation to distribute forked coins to certificate holders,
it nevertheless seeks to return the value creation to Certificate
Holders where possible. Accordingly, the Issuer has developed the
following (long-standing) policy on forks:
- Forks eligible for the plan
will be selected according to the available information of each
separate fork, at the Issuer's discretion, with a focus on the
viability and value of the new token.
- The forks will be distributed
to certificate holders bi-annually.
- Critically, the Issuer will
provide a corporate action date, in which certificate holders in
possession of the certificates (as at the corporate action date)
will be eligible to receive a cash distribution accumulated by
forks during the preceding half-year period.
- Only owners of certificate by
Euroclear definition will be paid and they will distribute to their
underlying clients, sometimes multiple levels.
- Once owners are paid, the
responsibility is no longer within the firm for good
execution.
- The Issuer will announce a
corporate action date three (3) weeks in advance of each bi-annual
fork distribution.
- The corporate action date is
designed to allow the Issuer to capture a snapshot of the
registered certificate holders at the point of the corporate
action. These certificate holders will be eligible to receive
proceeds the Issuer has collected during the preceding 6
months.
The Issuer notes that the market for ETHW may experience
significant price volatility during the Merge and that the new
protocol for ETHW may experience risks associated with the
stability of the technology underpinning the protocol as well as
risks to the adoption of ETHW among exchanges and custodians.
The Issuer will endeavour to sell ETHW and distribute the
proceeds to Certificate Holders in the event the proceeds are
material and the protocol is stable, but the Issuer can make no
guarantees as to its ability to do this..
—
About XBT Provider
XBT Provider AB (Publ) (“XBT Provider”), a CoinShares company,
is the Swedish-domiciled issuer of the Bitcoin Tracker One
(SE0007126024), Bitcoin Tracker Euro (SE0007525332), Ether Tracker
One (SE0010296574), Ether Tracker Euro (SE0010296582), series of
certificates (collectively, the “Certificates”) which are designed
to synthetically track the performance of the price of the relevant
underlying crypto-asset, bitcoin or ether, (in Swedish Kronor or
Euro, respectively), less a fee component.
In 2015, Bitcoin Tracker One became the first bitcoin-referenced
security available on a regulated exchange when it listed on Nasdaq
Stockholm. In 2017, Ether Tracker One became the first
ether-referenced security available on a regulated exchange when it
listed on Nasdaq Stockholm. The Certificates are available and
traded in the same manner as any other share or instrument listed
on their respective exchanges.
XBT Provider’s Prospectus is approved by the Swedish Financial
Supervisory Authority (Sw. Finansinspektionen) and the Certificates
are governed by Swedish law. XBT Provider is not a licensed
financial advisor. The views presented in this release are the
opinions of the Board of XBT Provider and no other party. Bitcoin
and ether, are volatile assets and their prices (and the price of
securities that are referenced to them) can move quickly,
positively or negatively. Prospective investors in the Certificates
should carefully consider the suitability of such an investment and
whether they have sufficient financial resources in order to be
able to bear the risks associated therewith and, in connection with
such a determination, should carefully read XBT Provider’s latest
Prospectus (including, in particular, the risk warnings set out
therein). The Certificates do not confer on the holders thereof any
claim to or against the relevant underlying crypto-asset to which
they are referenced. The value and any payment due under the
Certificates will be affected by the exchange rate between the US
Dollar and the Euro or, as the case may be, between the US Dollar
and the Swedish Kronor. Any returns upon the Certificates will not
be the same as the returns which a direct investment of an
equivalent sum in the relevant underlying crypto-asset could
produce. The Certificates are non-equity linked, non-principal
protected, unsecured and unsubordinated and do not bear
interest.
XBT Provider AB (AQSE:BIT-S.ST.GB)
Historical Stock Chart
From Jun 2024 to Jul 2024
XBT Provider AB (AQSE:BIT-S.ST.GB)
Historical Stock Chart
From Jul 2023 to Jul 2024