VanEck, an investment firm with more than $100 billion in assets under management, is adding Sui — a single-layer blockchain designed by former Meta engineers — to its growing basket of crypto products.
Sui is a blockchain launched in May 2023 that makes it easy for developers to deploy smart contracts and offers the ability to process multiple transactions simultaneously. It has managed to collect a market capitalization of 8.8 billion dollars, rising to the level seventeenth largest since the cryptocurrency was launched a year and a half ago.
Sui CEO and founder Evan Cheng said luck that the new investment product is a vote of confidence in Sui’s technology, as well as a sign that the traditional financial space is taking the nascent coin seriously.
“We are really happy to get this recognition that we are receiving at this moment. We’re really, really young, and now we feel like we’re recognized as one of the leaders in the industry, which is pretty incredible,” Cheng said.
Rather than an exchange-traded fund — some of which were approved in the US this year for Bitcoin and Ethereum — the new Sui-based product is an exchange-traded note, available only in Europe.
An ETN is unsecured debt issued by a bank. While ETNs track the performance of an index, they do not own the underlying asset and do not pay dividends or interest.
VanEck has launched more than a dozen crypto ETNs in several countries across Europe, including those based on Bitcoin, Avalanche, Ethereum and Solana.
“Sui’s proven track record and reputation as an industry leader, as well as its innovative and technological advances, made this the next logical product to add to the portfolio,” Menno Martens, Crypto Specialist and Product Manager at VanEck, said in a statement.
