XBT Provider, the Swedish issuer of Europe's only bitcoin-based exchange-traded notes (ETNs), announced on Thursday that its assets under management (AUM) have doubled from $50 million to $100 million in just 45 days, driven by unprecedented investor demand. The company also revealed a strategic partnership with leading Bitcoin wallet and custodian Xapo to secure its underlying bitcoin holdings.
Record Breaking Volume and Institutional Inflows
The two ETNs—Bitcoin Tracker One (denominated in Swedish krona) and Bitcoin Tracker Eur (denominated in euros)—are listed on the NASDAQ/OMX exchange in Stockholm and are accessible in 179 countries. Following Britain's largest broker Hargreaves Lansdown adding the products to its platform, XBT Provider saw a surge in interest from both retail and institutional investors. Jean-Marie Mognetti, Head of Trading and Operations, commented: “In the last 60 days, XBT Provider’s exchange traded bitcoin note has experienced unprecedented volume in trading and demand from both retail and institutional investors searching for exposure to bitcoin. This trend has quickly doubled assets under management to over the $100 million threshold.”
Institutional interest in bitcoin has been rising sharply. Several hedge funds have quietly started allocating to digital assets, and Goldman Sachs began covering bitcoin earlier this month due to demand from its hedge fund clients. The XBT Provider ETNs are designed to mirror the performance of bitcoin, providing regulated exposure without the need for direct custody.
Strategic Custodial Partnership with Xapo
XBT Provider also announced that Xapo will serve as the custodian for the bitcoin held in cold storage on behalf of investors in the two ETNs. Xapo, based in Zug, Switzerland, received conditional approval from the Swiss Financial Market Supervisory Authority (FINMA) in January to operate in the country. Ryan Radloff, Head of Investor Relations at XBT Provider, stated: “The addition of Xapo to our infrastructure is a critical step in ensuring that our products remain the most professional bitcoin investment products available to investors, globally.”
Xapo is already the custodian for Barry Silbert’s Bitcoin Investment Trust (GBTC), which is currently seeking SEC approval to convert into a bitcoin ETF. This move signals growing confidence in institutional-grade custody solutions and could pave the way for further product innovation.
With AUM crossing $100 million and a robust custodial framework in place, XBT Provider is positioning itself as a gateway for traditional investors seeking secure, regulated access to bitcoin. The partnership with Xapo not only enhances security but also strengthens trust among institutional stakeholders eyeing the digital asset class.