Cardano ETN by Fineqia Raises $45M in Subscriptions

Digital asset investment company Fineqia International Inc (CSE:FNQ, OTC:FNQQF) has announced that its subsidiary, Fineqia AG, has successfully secured $45 million in subscriptions for its newly launched exchange-traded note (ETN) linked to the Cardano cryptocurrency. The Fineqia FTSE Cardano Enhanced Yield ETN, which is listed on the Vienna Stock Exchange, offers investors exposure to Cardano’s token while providing a yield regardless of price fluctuations. The company’s CEO, Bundeep Singh Rangar, emphasized that this product offers investors an opportunity to access blockchain technology benefits through a transparent and regulated financial instrument.

Fineqia AG stands to benefit from an annual management fee of 2% of the assets under management (AUM) and 20% of the annual target 7% yield as a performance fee. While the company retains the discretion to charge 0.50% fees on both subscription and redemption, these fees are currently waived. The ETN is pegged to the FTSE Russell index, providing a structured way for investors to tap into the potential of blockchain technology.

The surge in global exchange-traded products (ETPs) tied to digital assets recently hit an all-time high of $216 billion in assets under management at the close of 2024, driven in part by the results of the US presidential election. This figure represents a notable growth from $70.8 billion at the beginning of the year, with ETP growth surpassing that of the broader digital asset market, according to research from Fineqia’s internal team.

This latest development underscores the increasing appeal of digital asset investment products to investors seeking exposure to the cryptocurrency market in a regulated and structured manner. The ETN’s launch signals the growing acceptance and interest in such financial instruments in the evolving blockchain and digital asset landscape.

The investments secured for the Fineqia FTSE Cardano Enhanced Yield ETN reflect a strong demand from investors keen on capitalizing on the potential of digital assets while benefiting from a yield-generating financial product. The company’s focus on providing accessible and regulated investment options in the digital asset space has positioned it as a key player in the evolving cryptocurrency investment landscape.

By offering exposure to Cardano’s token through an ETP listed on a major stock exchange, Fineqia International Inc continues to innovate in the digital asset investment sector, providing investors with diverse and structured opportunities to tap into the growing potential of blockchain technology.