VanEck Expands Crypto Product Portfolio with New SUI ETN for European Investors

VanEck, a major investment firm managing over $100 billion in assets, launched a new Exchange-Traded Note (ETN) based on the SUI cryptocurrency. The product is now available on Euronext Amsterdam and Paris, offering investors in over 15 countries access to the Sui blockchain.

The SUI-based ETN is designed to give investors exposure to the Sui network without requiring direct ownership of the underlying SUI tokens. This structure allows investors to gain exposure to SUI’s performance without the complexity of managing a digital wallet or holding the tokens themselves.

What is the SUI ETN?

The VanEck SUI ETN is fully backed by SUI tokens held with Liechtenstein’s Bank Frick, ensuring that the value of the ETN mirrors the value of the tokens it represents. The ETN tracks the MarketVector Sui Network VWAP Close Index and comes with a total expense ratio of 1.5%. 

Investors purchasing this ETN will see the value of their investment directly reflect the market value of the SUI tokens it tracks. The Investors do not need to interact with the Sui blockchain directly, making the process more accessible to traditional investors.

Sui’s Rapid Growth 

Sui, a decentralized smart contract platform designed by former Meta engineers, has experienced impressive growth in recent months. The blockchain boasts an impressive 400% increase in total value locked (TVL) and a 692% rise in DeFi volume over the past year. 

Per reports, Sui’s ability to handle multiple transactions simultaneously makes it ideal for applications in sectors that demand speed and scalability, such as gaming and financial services. According to VanEck, Sui provides a user experience similar to popular platforms like Facebook and Robinhood, making it a familiar and affordable option for new users.

VanEck Expands Crypto Product Offerings

VanEck’s decision to add SUI to its growing portfolio of crypto-focused financial products underscores the firm’s belief in the blockchain’s future. It previously launched financial products linked to Bitcoin, Ethereum, and Solana.

The launch of the SUI ETN follows a surge in institutional confidence in the Sui blockchain. The past year has seen significant developments, including partnerships with companies like Copper, Zero Hash, and Fordefi. Stablecoins like USDC and AUSD also recently integrated with the Sui network.