Finance giant Schwab Asset Management has revealed it’s launching its first cryptocurrency-related exchange-traded fund (ETF) on the New York Stock Exchange Arca from August 4.

A majority of Aave’s decentralized autonomous organization (DAO) voters have approved creating a new stablecoin called GHO, which will be backed by collateral consisting of other cryptocurrencies.

Cryptocurrency hardware wallet maker Ledger is reputedly in talks to raise at least $100 million in a new funding round that will give it a higher valuation than what it commanded at its last financing round.

Top stories in the Crypto Roundup today:

• Schwab Asset Management Launches Crypto ETF
• Aave DAO Approves Creation of GHO Stablecoin
• Hardware Wallet Manufacturer Ledger Seeks New Funding
• Ethereum Investment Products AUM Rose 44.6% in July

Schwab Asset Management Launches Crypto ETF

Finance giant Schwab Asset Management has revealed it’s launching its first cryptocurrency-related exchange-traded fund (ETF) on the New York Stock Exchange Arca from August 4.

The ETF is set to trade under the ticker STCE and will track Schwab’s Crypto Thematic Index. Unlike ETFs tracking a basket of digital assets, STCE will offer exposure to companies that may benefit from the use of cryptocurrencies.

The fund will track companies that may benefit from validating consensus mechanisms and cryptocurrency mining, as well as digital asset trading and brokerage services.

The move sees Schwab Asset Management join BlackRock, Fidelity, and other financial institutions in offering cryptocurrency-related products.

Aave DAO Approves Creation of GHO Stablecoin

A majority of Aave’s decentralized autonomous organization (DAO) voters have approved creating a new stablecoin called GHO, which will be backed by collateral consisting of other cryptocurrencies.

After Aave Companies submitted a governance proposal calling for the creation of the GHO stablecoin, 99.9% of voters approved of the move. To mint GHO, users will first have to deposit cryptocurrencies accepted by Aave.

Aave is a decentralized, non-custodial market protocol allowing users to borrow and lend digital assets. Users who borrow GHO against these assets will earn interest on their collateral used to mint the stablecoin, and interest on loans taken out in GHO will revert to Aave DAO.

Loans meant to mint GHO will have to be over-collateralized, meaning the value of the collateral will have to be superior to the value of the minted GHO. When users repay a loan or are liquidated, the minted GHO will be burned.´

GHO’s value will be pegged to that of the U.S. dollar, and its interest rate will be determined by Aave DAO. The DAO is managed by the Aave community, with AAVE token holders submitting and voting on proposals.

Hardware Wallet Manufacturer Ledger Seeks New Funding

Cryptocurrency hardware wallet maker Ledger is reputedly in talks to raise at least $100 million in a new funding round that will give it a higher valuation than what it commanded at its last financing round.

The company last raised $380 million in June 2021 at a valuation of more than $1.5 billion, and is now seeking funds at a time in which crypto venture capital investing has been cooling down in response to a market downturn.

Ledger’s business is growing, sources said, as a growing number of investors look to store their digital assets instead of keeping their funds with third parties, taking into account recent withdrawal freezes from companies like Celsius Network and Voyager Digital.

While some companies have seen their funding talks fall apart, crypto startups like Aptos Labs and Magic Eden have recently managed to secure fresh capital at higher valuations.

Ethereum Investment Products AUM Rose 44.6% in July

In the month of June, all but one digital asset investment product recorded losses, with the only one seeing its assets under management rise being the 21Shares Short Bitcoin ETP, which benefits from dropping crypto prices.

In July, the trend reversed, with all products covered in CryptoCompare’s Digital Asset Management Review reporting positive 30-day returns. Ethereum-based products led the bounce-back, driven by price movements in ETH.

Ethereum products have seen gains ranging from 25.9% to 37.8%, whilst Ethereum has experienced 30-day returns of 13.6% since July 26. XBTProvider’s XETHEUR ETC product saw a 30-day return of 37.8%, making it the best performer of the month.

Ethereum’s AUM rose 44.6% to $6.57bn compared to that of BTC, which rose 16.9% to $18.6bn.

Find out more via CryptoCompare’s latest Digital Asset Management Review.

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