Simmons & Simmons have advised DWS Investments UK Limited (“DWS”), a UK based asset manager, on the launch of the programme for the issuance of cryptocurrency-focused exchange traded products (“ETPs”) for professional and retail investors in Europe. DWS is part of DWS Group (being part of Deutsche Bank group) with EUR 896bn of assets under management as of 31 December 2023. DWS is acting as arranger under the programme and have partnered with US-based digital assets manager Galaxy Digital as crypto advisor and execution agent under the programme.
DWS has simultaneously launched two series of ETPs under the programme, tracking Bitcoin and Ether. The Xtrackers Galaxy Physical Bitcoin ETC Securities (XXBT) and the Xtrackers Galaxy Physical Ethereum ETC Securities (XETH) are listed on Deutsche Börse Xetra from 4 April 2024. State Street will act as the issuing and paying agent as well as the administration agent on the ETPs. XXBT and XETH are physically backed and will be held through two cryptocurrency custodians: Zodia Custody and Coinbase.
DWS commented that “The Simmons team have been key enablers of this launch and we thank the team for their engagement, partnership and support.”
Simmons & Simmons are looking forward to continuing to work with DWS as they develop their crypto and digital ETP offerings in Europe.
Our team advising DWS was led by partner Paul Browne and Managing Associate Igor Zyskind, assisted by various specialists in the UK, including digital assets-specialist Oliver Ward (Managing Associate, Structured Finance and Derivatives), Akil Eapen (Associate, Structured Finance and Derivatives), Mark Sheiham (Partner, Tax), Rosali Pretorius (Partner, FS Regulatory) and George Morris (Partner, Digital Business), as well as product and regulatory teams across Europe, particularly in Ireland as led by Rachel Stanton (Partner, Financial Markets). Simmons & Simmons’ trustee team (James Bresslaw) have also advised Vistra Capital Markets Trustees Limited in their capacity as trustee under the programme.
