Deutsche Digital Assets (DDA) has partnered with Nordic crypto platform Safello to introduce a new exchange-traded product (ETP) designed to provide traditional investors with straightforward exposure to Bittensor (TAO), an AI-focused blockchain network.
The product, named the Safello Bittensor Staked TAO ETP, is slated to commence trading on the SIX Swiss Exchange in the upcoming weeks, under the ticker symbol STAO.
According to the official announcement from Deutsche Digital Assets, this ETP is specifically crafted for investors seeking regulated access to Bittensor without the complexities of cryptocurrency custody or on-chain staking. The product is fully physically backed, meaning the issuer holds actual TAO as collateral. This collateral is secured in 'cold storage' by BitGo Europe.
DDA confirmed that the product was launched utilizing its white-label platform, which furnishes the necessary regulatory and technical infrastructure for the listing. Maximilian Lautenschläger, CEO and founder of DDA, stated that this structure empowers partners like Safello to bring their cryptocurrency investment strategies to market while adhering to regulatory standards, thereby positioning the platform as a means to reduce entry barriers for new issuers.
Facilitating a Wider Shift Towards AI-Focused Assets
Safello views this listing as a significant component of a broader market trend towards AI-linked digital assets. Emelie Moritz, CEO of Safello, expressed the company's conviction that decentralized AI networks, such as Bittensor, are poised to assume an increasingly prominent role within the digital asset landscape. She further commented, "Together with DDA, we are enabling investors to readily access this innovation through a regulated and transparent investment vehicle."
The ETP tracks the Kaiko Safello Staked Bittensor Index, is domiciled in Liechtenstein, and carries a total expense ratio of 1.49%. Staking rewards are integrated into the ETP's Net Asset Value (NAV) rather than being distributed separately, allowing investors to benefit from yield in conjunction with price appreciation.
This launch aligns with a growing trend in Europe for staking-based crypto ETPs, as asset managers increasingly offer yield-bearing products that can be integrated into traditional brokerage accounts.