Cryptos: Data provider taps Napoleon in index push, Leonteq rolls out Ether CRC

Cryptocurrency market data provider for institutional investors and enterprises Kaiko has closed an agreement to purchase Napoleon Index from digital asset investment firm CoinShares.

Kaiko will simultaneously launch Kaiko Indices, as a new business line providing a suite of regulated, single-asset and multi-asset crypto asset benchmarks for institutional investors. Kaiko has already received clearance from the Autorité des marchés financiers (AMF) to launch Kaiko Indices and conduct benchmark administration under the EU Benchmark Regulation (BMR) on 25 April 2022. 

Compliance and regulation are critical to the success of the crypto and blockchain industry - Ambre Soubiran, Kaiko

The firm will launch a number of indices in the coming months to cater to the substantial institutional client demand for regulated products, said Ambre Soubiran (pictured), CEO of Kaiko.

‘Compliance and regulation are critical to the success of the crypto and blockchain industry and we welcome efforts to introduce regulatory standards that maintain market integrity, transparency, security and investor protection,’ she said

This transaction follows the recent successful acquisition of Kesitys, a provider of quantitative decision tools for risk optimisation earlier this year.

Leonteq rolls out Ether CRC

Swiss structured products provider Leonteq has launched a new crypto structure to its digital assets range of products.

The new Callable Reverse Convertible on ethereum will deliver a coupon payment of 5.75% (23.00% p.a.) every three months - if the cryptocurrency does not trade below 60% of the initial fixing at maturity, the investor will receive his original investment back; if ethereum trades below 60% of the initial fixing, the return will be in line with the price of ethereum on the expiration date. Leonteq has the right to early redeem the product at 100% plus the quarterly guaranteed coupon.

‘Since the coupon is guaranteed and the strike is at 60.00% of the initial fixing level, the risk is reduced compared to a direct investment in Ethereum,’ stated Leonteq.

The Ethereum-based token is down 65% over the last 30 days, crashing harder than other gaming and virtual land tokens.

This is the latest addition to Leonteq’s crypto range and follows the launch in mid-May four new tracker certificates on Solana, Compound, 0x and Yearn.Finance as underlyings are now available, and listed trackers linked to Filecoin, EOS, Aave, Algorand and Cosmos on BX Swiss.

The Swiss firm offers a total of 26 crypto assets.

BlockFills, TPAC Capital launch crypto structured product capabilities for institutions

Digital asset trading and financial technology company BlockFills has partnered with TPAC Capital, to offer institutions ‘cryptocurrency structured product solutions’.

TPAC is a cryptocurrency joint venture between Pack Creek Capital and Finance Michigan, two commodities industry companies.

BlockFills will offer institutions with tailored cryptocurrency structured product options. In addition, institutions like banks, hedge funds and others in the financial services sector will be able to offer structured product solutions for their clients through this partnership.

‘Institutions have sought increasingly customisable strategies to help maximise their cryptocurrency investments while hedging against or capitalising on market volatility,” said Nick Hammer (right), co-founder and CEO of BlockFills, adding that customised structured product solutions ‘help institutions manage cryptocurrency exposure and develop solutions that assist with risk-return objectives, return enhancement, cost reduction, crypto pricing volatility and cash flow management’.

‘Combining nonlinear and linear options on a case-by-case basis will benefit business and investment strategies,’ said Michael Ortiz, founder of TPAC.

Sygnum bolsters B2B banking platform, teams up with 10 banks

Sygnum Bank has announced a partnership with 10 Swiss banks including Bordier & Cie and VZ VermögensZentrum to enable them to offer ‘flexible, regulated crypto banking services to their clients’.

Some of the crypto services for the new partner banks include modules for segregated client accounts, custody, trading, staking, tokenisation and asset management which can be integrated with existing banking infrastructure.

‘This partnership provides us with a FINMA regulated, one-stop solution that enables our clients to invest in this high-growth asset class with complete trust,’ said Evrard Bordier (right), Bordier & Cie’s SCmA Managing Partner.

The digital bank’s partners will retain full control of their client relationships. Sygnum holds majority share in Custodigit, a Joint Venture with Swisscom and SIX.

Sygnum has also plans for major updates in its platform to more ‘efficiently trade and settle smaller ticket sizes, as well as optimised management of clients’ trade margins and collateral to support growth of its derivatives trading offering and Lombard Loan business.

Thetanuts launches Stronghold Index Vault for DeFi-linked investments

Thetanus Finance has upgraded its existing suite of investment products with the addition of its new Stronghold Index Vault - a trading product designed to offer investors access to non-inflationary returns with diversified risk management.

The Stronghold Index Vault deploys smart contracts and algorithms to simplify yield generation and the entire process of options trading and is aimed at sophisticated institutional investors. The protocol will enable investors to directly stack their assets into the platform’s DeFi Option Vaults (DOV).

The staked assets of investors will be automatically deployed across multiple specified covered options selling strategies, powered by the platform’s underlying smart contracts.

The Thetanuts USDC Stronghold Index vault will initially be available on ethereum, and binance smart chain, and will be expanded to Avalanche in the coming months, with Polygon, Fantom, and other chains expected to arrive later.