PRESS ROOM
WisdomTree Adds Polygon and Avalanche to Crypto Basket ETPs
Monday 22nd August '22
WisdomTree, the exchange-traded fund ("ETF") and exchange-traded product ("ETP") sponsor, has added Polygon (MATIC) and Avalanche (AVAX) to the indices tracked by the physically-backed cryptocurrency basket ETPs, WisdomTree Crypto Market (BLOC) and WisdomTree Crypto Altcoins (WALT).
BLOC and WALT are listed on Börse Xetra, and Euronext exchanges in Paris and Amsterdam and SIX, the Swiss stock exchange. The ETPs are passported for sale across the European Union*.
Alexis Marinof, Head of Europe, WisdomTree, said: “Our crypto baskets were designed to provide investors with exposure to an evolving crypto asset landscape. By rebalancing quarterly, additional coins like MATIC and AVAX, can be added to the indices. Before being included in our indices, coins are reviewed by a Committee and must meet a number of criteria including sufficient liquidity, practical use case and critical mass. Our screening and rebalancing allows investors to conveniently allocate to the some of the largest and most liquid crypto assets currently investable, within a familiar product structure without them having to set up and secure individual wallets or expressing conviction views on any individual coins.”
Polygon is an open source Ethereum sidechain which has been designed to transact faster and cheaper while leveraging the security of the Ethereum blockchain. The Polygon token, MATIC, has several purposes in the Polygon ecosystem such as voting and paying gas fees1 amongst others. Polygon has focused its efforts on supporting the development of scaling infrastructure specific to the Ethereum network and other EVM-compatible2 blockchains.
Avalanche is an open-source platform for launching decentralized applications and enterprise blockchain deployments in one interoperable, highly scalable ecosystem. Avalanche is a decentralized blockchain with smart contract functionality which aims to be eco-friendly, low cost and provide fast transactions. AVAX is the native token of Avalanche platform. It’s a hard-capped, scarce asset that is used to pay for fees, secure the platform through staking, and provide a basic unit of account between the multiple Subnets created on Avalanche.
WisdomTree Crypto Market (BLOC)
BLOC is a free-float market cap weighted ETP, providing exposure to a diversified basket of crypto assets representing circa 65% of the cryptocurrency market cap3. This product is designed for those looking for a broad exposure to the liquid, established end of the crypto market. With the new additions, the ETP’s underlying index is now comprised of Bitcoin (BTC), Ethereum (ETH), Cardano, Bitcoin Cash, Litecoin, Polkadot, Solana, Polygon and Avalanche. Due to the relatively large market caps of BTC and ETH, the combined weighting of these crypto assets in the ETP is capped at 75%, with individual constituents capped at a max weighting of 45% and a minimum allocation of 2.5% per crypto asset. BLOC has a total expense ratio (TER) of 1.45%.
WisdomTree Crypto Altcoins (WALT)
WALT is a free-float market cap weighted ETP providing exposure to a diversified basket of altcoins4. The ETP provides exposure to major coins excluding BTC and ETH and was designed for investors who already have exposure to these mega cap coins and want to diversify their exposure without changing their existing holdings. With the new additions, the ETP’s underlying index is now comprised of Cardano, Bitcoin Cash, Litecoin, Polkadot, Solana, Polygon and Avalanche. Individual constituents are capped at a max weighting of 50% and a minimum allocation of 2.5% per crypto asset. WALT has a TER of 1.45%.
MATIC and AVAX were added to BLOC and WALT on 19 August 2022 following the rebalancing of their respective indices.
WisdomTree launched its first crypto asset ETP, WisdomTree Bitcoin (BTCW) in 2019 and has since, built a dedicated digital assets team and expanded its product range to include single coin ETPs providing exposure to Ethereum, Cardano, Solana and Polkadot while building a range of diversified crypto baskets. WisdomTree has $200m5 in assets under management across crypto asset ETP.
*BLOC and WALT are passported for sale in Austria, Belgium, Denmark, Finland, France, Germany, Italy, Ireland, Luxembourg, Netherlands, Norway, Spain, Sweden and Switzerland.
Product information
Listing Name |
TER |
Exchange |
Trading Ccy |
Exchange Code |
ISIN |
1.45% |
SIX |
USD, CHF EUR |
BLOC |
GB00BMTP1626 |
|
1.45% |
Börse Xetra |
EUR |
WBLC |
GB00BMTP1626 |
|
1.45% |
Euronext Paris |
EUR |
BLOC |
GB00BMTP1626 |
|
1.45% |
Euronext Amsterdam |
USD |
BLOC |
GB00BMTP1626 |
|
1.45% |
SIX |
USD, CHF EUR |
WALT |
GB00BMTP1519 |
|
1.45% |
Börse Xetra |
EUR |
ALTC |
GB00BMTP1519 |
|
1.45% |
Euronext Paris |
EUR |
WALT |
GB00BMTP1519 |
|
1.45% |
Euronext Amsterdam |
USD |
WALT |
GB00BMTP1519 |
1 ‘Gas fees’ are the price paid to use the Ethereum network. Gas fees are often denominated in ‘Gwei’, which is a sub-unit of ether.
2 ‘EVM’ stands for ‘Ethereum Virtual Machine’. If something is ‘EVM compatible’, this means that application software code also can be run on the Ethereum network with no changes to the code itself.
3 Altcoins refer to crypto assets other than Bitcoin and Ether
4 Altcoins refer to crypto assets other than Bitcoin and Ether
5 WisdomTree, as at 10 August 2022