The London Stock Exchange has listed 1Valour Bitcoin Physical Staking (ISIN GB00BRBV3124), a Bitcoin staking ETP launched by Valour Digital Securities, a subsidiary of DeFi Technologies. The product offers an initial annual yield of 1,4%, credited daily to the NAV, and is targeted at professional and institutional investors. By providing regulated exposure to Bitcoin with yield generation in the UK capital markets, it represents a significant step for institutional adoption.
Context and Features of 1VBS
Each 1VBS share is backed 1:1 by physical Bitcoin. Holdings are kept in institutional cold custody provided by Copper, which uses MPC technology to secure the keys, according to issuer documentation.
The staking yield, at an initial 1,4% annual rate, is accumulated in Bitcoin and added to the ETP’s assets, increasing the NAV, which is published daily. The product trades in the premier section of the LSE and is available in GBP and EUR, with access currently limited to professional and institutional investors.
According to CEO Olivier Roussy Newton, the ETP serves as a bridge between traditional markets and decentralized finance. An ETP is an exchange-traded instrument that replicates exposure to an underlying asset, and staking allows participation in a consensus mechanism to earn cryptocurrency rewards, which in this case are reinvested in Bitcoin within the ETP.
Implications and Key Points
For institutional adoption, the ETP provides a regulated and managed way to earn yield on Bitcoin without the need to manage custody directly. In terms of risk and liquidity, it maintains market liquidity but carries staking-specific risks, including potential lock-up periods and operational costs that affect net yield.
In custody and governance, the cold custody with MPC and daily NAV publication aim to reduce counterparty risk and improve traceability, which are important for compliance and audit. On the regulatory side, the issuer notes that the FCA plans changes that could open retail access in the future.
Key Data:
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Issuer: Valour Digital Securities (DeFi Technologies)
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Custody: Copper with MPC
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Initial Yield: 1,4% annual, reflected in NAV
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Access: currently only professional investors on the LSE
The next milestone will be the evolution of the FCA’s regulatory framework, which could allow retail access to crypto products in the near term. Operationally, the 1VBS positions Valour as an early provider of Bitcoin exposure with yield generation in a regulated environment.
