Bitcoin has evolved from a niche digital experiment into a mainstream financial asset, drawing interest from individual investors and institutions alike. For those seeking exposure to Bitcoin without the complexities of direct ownership—such as managing private keys or navigating crypto exchanges—exchange-traded products (ETPs) offer a secure, transparent, and regulated alternative. Among these, CoinShares Physical Bitcoin ETP stands out as a leading solution, combining the innovation of cryptocurrency with the familiarity of traditional investing.
What Is a Bitcoin ETP?
An Exchange-Traded Product (ETP) is a financial instrument traded on regulated stock exchanges, similar to stocks or ETFs. A Bitcoin ETP tracks the price of Bitcoin and allows investors to gain exposure through conventional brokerage accounts. Unlike synthetic products that use derivatives, physically backed ETPs like CoinShares hold actual Bitcoin in custody, ensuring a direct link between the product’s value and the underlying asset.
👉 Discover how to invest in Bitcoin the smart way with secure, exchange-traded access.
Why Choose a Physically Backed Bitcoin ETP?
- Security: No need to manage digital wallets or private keys.
- Transparency: Daily verification of reserves ensures full backing.
- Accessibility: Trade through familiar investment platforms.
- Regulation: Listed on major European exchanges with oversight.
Key Features of CoinShares Physical Bitcoin ETP
100% Physically Backed by Real Bitcoin
Each share of the CoinShares Physical Bitcoin ETP represents ownership of actual Bitcoin. For every unit issued, an equivalent amount of BTC is purchased and securely stored with Komainu, an institutional-grade digital asset custodian. This 1:1 backing model eliminates counterparty risk and ensures accurate price tracking.
Fully Transparent Reserves
Transparency is a cornerstone of trust in digital asset investing. CoinShares publishes daily proof of reserves verified by independent auditor The Network Firm. Investors can use the LedgerLens tool to view real-time holdings and confirm that each ETP share is fully backed by physical Bitcoin.
Seamless Integration with Traditional Portfolios
You don’t need a crypto wallet or exchange account to invest. The ETP trades on established markets such as Xetra, SIX Swiss Exchange, and London Stock Exchange (LSE), making it easy to include Bitcoin in your existing investment strategy—just like buying shares in any public company.
How to Invest in CoinShares Physical Bitcoin ETP
Investing is simple and follows standard brokerage procedures:
- Copy the Product ID
Use the ISIN (GB00BLD4ZL17) or ticker symbol (e.g.,BITC GYfor Xetra) to identify the correct listing. - Access Your Broker Account
Whether you're using a traditional broker or an online trading platform, log in to your account. - Search for the ETP
Enter the ticker or ISIN in your broker’s search bar and select the appropriate listing based on currency and exchange. - Place Your Order
Specify the number of shares you wish to buy, review fees and pricing, then confirm the trade.
👉 Start building your digital asset portfolio today through trusted market access.
Where Is the ETP Traded?
The CoinShares Physical Bitcoin ETP is listed across multiple European exchanges in various currencies:
- Germany (Xetra): EUR – Ticker: BITC GY
- Netherlands (Euronext Amsterdam): EUR – Ticker: BITC NA
- France (Euronext Paris): EUR – Ticker: BITC FP
- Switzerland (SIX Swiss Exchange): USD, CHF, EUR, GBP – Tickers: BITC SE, BITCCHF SE, etc.
- United Kingdom (LSE): USD & GBP – Tickers: BITC LN, BITP LN
This multi-jurisdictional availability enhances liquidity and provides flexibility for international investors.
Understanding the Risks
While Bitcoin offers diversification benefits, it's essential to understand the risks involved:
- Volatility: Bitcoin prices can fluctuate significantly over short periods.
- Market Risk: As a relatively new asset class, crypto markets are still maturing.
- Regulatory Uncertainty: Global regulations are evolving and may impact future performance.
- Investment Suitability: Not all investors may be suited for crypto exposure—even experienced ones.
Past performance does not guarantee future results. Investors should consult the Key Information Document (KID) and prospectus before investing.
Frequently Asked Questions
What is a physically backed Bitcoin ETP?
A physically backed Bitcoin ETP holds actual Bitcoin in secure custody. Each share corresponds to a specific amount of BTC, ensuring the product’s value closely tracks the market price of Bitcoin without relying on derivatives.
Can I redeem my ETP shares for actual Bitcoin?
Yes, CoinShares offers a physical redemption mechanism for registered holders. Eligible investors can apply to exchange their ETP shares for the underlying Bitcoin. Details are available in the official ETP documentation.
Is there such a thing as “physical Bitcoin”?
No—Bitcoin is a digital asset that exists on a decentralized blockchain. The term "physical Bitcoin" typically refers to ETPs that are backed by real BTC holdings, not tangible coins. Some novelty items like metal coins with embedded private keys exist but are not used in institutional investing.
How is this different from buying Bitcoin directly?
Buying Bitcoin directly requires managing wallets, private keys, and security protocols. With a physical ETP, you gain exposure through regulated markets without handling crypto directly—ideal for investors prioritizing convenience and safety.
Are there tax implications?
Tax treatment varies by country. In many jurisdictions, ETPs are treated similarly to equities. Consult a tax advisor to understand implications based on your residence and investment goals.
Why add Bitcoin to my portfolio?
Research suggests that even a small allocation to Bitcoin can enhance portfolio diversification due to its low correlation with traditional assets like stocks and bonds. Its unique properties—decentralization, scarcity, and censorship resistance—make it a compelling long-term store of value.
By integrating Bitcoin into your investment strategy via a trusted, transparent vehicle like the CoinShares Physical ETP, you gain access to one of the most innovative assets of the 21st century—without stepping outside the regulated financial system.
👉 Learn more about next-generation investment tools designed for modern portfolios.