Notably, outside the US, the aforesaid Bitcoin & Ethereum futures ETF will be the foremost crypto-pegged futures ETF. Also, the Asian discount certificates reflecting the performance of Metaverse large-cap stocks in the European and the US markets will be the first of its kind in the country.
The ETF futures will be released in accordance with IFSCA’s sandbox provisions. Torus Kling Blockchain will serve as the liquidity provider for India INX, delivering extensive liquidity and intelligent trade routing on a non-stop basis. Torus’ worldwide distribution division and affiliates will promote the products. Torus Kling Blockchain is aiming for a USD 1 billion AUM (assets under management) in the initial two years from consumers investing in blockchain-centered products via exchange-traded funds and discount certificates.
“India INX at GIFT IFSC is investigating the possibility of launching digital asset-centered products and it has already filed paperwork to IFSCA under the Regulatory Sandbox.”
This is a component of our product development initiative, which includes evaluating our products against those of other international financial hubs. “We will offer goods in these new-era assets in accordance with applicable laws and after obtaining the necessary post-regulatory permissions,” stated Balasubramaniam, India INX’s Managing Director and CEO.
“The emergence of a distinct asset category is just the start. Exchange trade products enable trading via traditional brokerage accounts, avoiding the hassles and worries associated with cryptocurrency exchanges,” stated Krishna Mohan Meenavalli, CEO, Torus Kling Blockchain IFSC.
Torus Kling Blockchain IFSC intends to deploy the ETF in Gift City by the end of this fiscal 2022, pending permissions from the IFSCA and other governing agencies. According to sources, the cryptocurrency market’s worldwide derivatives trading volume totalled USD 3.2 trillion, while overall spot transactions were $500 million lower at $2.7 trillion.
In India, ETF assets under management almost quadrupled to $40 billion, from $20 billion last year. Additionally, Exchange Traded Products (ETPs) have amassed over USD 1 trillion, accounting for 15% of all fund assets worldwide.