In Germany it is initially not possible to invest in Bitcoin and other crypto ETFs. The reason for this: the ETFs as published in the USA do not comply with the rules of the European Securities and Markets Authority. That’s why XTB is now offering an alternative to these instruments and introducing three new exchange-traded products that offer investors various options for investing in digital assets. These are:
- BTCetc Bitcoin exchange-traded cryptocurrencies,
- VanEck Bitcoin ETN,
- VanEck leading cryptocurrencies ETN.
The first two are based on Bitcoin and replicate its price movements. The “VanEck leading cryptocurrencies ETN” is based on the development of the ten most popular cryptocurrencies at the moment.
XTB chooses to offer ETNs in Europe due to their long-standing availability. Over time, leading brokers used ETNs to give their clients access to hard-to-access investments.
XTB’s technology enables you to execute orders reliably and ultra-fast – at any time. The professional trading platform xStation is available for Windows and Mac and is very easy and intuitive to use. This gives you access to a diverse and innovative range of products through just one XTB account.
Exchange-traded bonds: how exactly do ETNs work?
ETNs stands for Exchange Traded Notes. They represent a type of debt security that tracks the performance of an underlying asset or index (as in the case of the “leading cryptocurrency ETN”). They are particularly popular with investors who are looking for easy access to cryptocurrencies and tax advantages. But how exactly do they actually work?
ETNs work similarly to ETFs in that they are traded like stocks on the stock exchange. Banks and similar financial institutions issue ETNs. So when you invest in an ETN, you are lending money to that bank. In return, the bank pays you back the capital, plus or minus the changes in the value of the index of the asset that the ETN tracks.
ETNs offer a major advantage: tax treatment. They allow you to collect sales tax-free as long-term capital gains after one year. This can lead to significant tax savings. However, they are also associated with a higher risk. Because they are debt securities, buyers can lose their investment if the issuer goes bankrupt.
XTB: best CFD broker of 2023 and 2024 according to brokerwahl.de
XTB is your one-stop shop for trading & investing. Here you actively trade crypto CFDs, ETNs, Forex, stocks and ETFs. As a trader, the platform offers you the best technology, best conditions and best service. This makes XTB one of the five largest listed CFD brokers in the world. It has offices in more than 13 countries including the UK, Germany, France and Chile, among others.
The global company has existed since 2002 and is monitored by the largest regulatory authorities in the world (FCA, KNF, CySEC, BaFin and FSC). Over a million customers now rely on the excellent service. And this is also shown by the result of brokerwahl.de contrary. Here XTB was chosen as the best CFD broker in 2023 and 2024.
The excellent service is also reflected in the customer service area. In addition, XTB provides you with all important financial news directly in German on the trading platform and the app. Experience the difference that XTB technology offers every trader and investor today. Join a million investors worldwide and open your account with XTB.
For more information, visit XTB’s fire hub
Disclaimer: CFDs and ETNs are complex instruments and involve a high risk of losing money quickly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing money.”
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