Germany’s second largest stock exchange the Börse Stuttgart announced today that it will be adding trading of Ripple’s XRP token to its services in the form of ETN’s. The listing follows last month’s news that XRP will be listed on Swedish exchange Nordic Growth Market (NGM), which is also owned by the Börse Stuttgart.
Börse Stuttgart announced its plan to begin investigating cryptocurrency support back in August 2018 with talk of ‘complete end-to-end infrastructure’ for digital assets. It has since become well known for it’s ‘crypto-positive’ attitude. Founded in 1860, the exchange has been hosted in many different headquarters throughout Germany, eventually settling in its current location of Carl Eugen Bau, Stuttgart. It recently developed an over-the-counter (OTC) trading platform dubbed the Trading, Information and Quote System (TIQS) in collaboration with EUWAX AG.
Exchange Traded Notes
Exchange Traded Notes, or ETN’s, are a method of tracking the index of a security on a major exchange. They are a form of unsecured debt and are similar to bonds, although minus the interest payments. An exchange typically takes a fee from any gains the ETN accrues and then pays out the investor the remaining profit. Unlike exchange-traded funds (ETF’s), which have become increasingly popular in the cryptocurrency industry, ETN’s don’t require the exchange to own the underlying security.
The use of ETN’s is aimed to open up cryptocurrency trading to traditional investors who would otherwise not be able to or not wish to deal directly in digital asset trading. While they usually result in higher fees, they give more wary investors the perceived security and peace of mind that comes with a historically trustworthy exchange.
Ripple (XRP) Price
XRP is trading up almost four percent after enjoying a sudden boost at around 2:30 am (GMT) today. A huge injection of volume pushed the price to a high of $0.328 before leveling off to current levels of $0.322. The asset reached a high of almost $0.34 during this past weekend’s crypto market bull run but retraced to $0.30 soon after.
Bitcoin (BTC), by comparison, is up only 2.5 percent today with Ethereum (ETH) trailing behind with only one percent gains. Litecoin (LTC), which was also announced to be added as an ETN on Börse Stuttgart, barely reacted to the news and is currently down 0.1 percent.