FalconX collaborates with Intchains Group to enhance ETH yield through structured products, expanding Ethereum accumulation and yield enhancement beyond traditional methods.
The initiative aims to boost ETH acquisition and yields, proving institutional interest in outperforming traditional markets through strategic crypto investments.
FalconX and Intchains Group have partnered to offer institutional access to Ethereum’s native yield. The structured products focus on ETH accumulation and yield enhancement. This partnership signals an expansion beyond traditional staking methods.
The collaboration between FalconX and Nasdaq-listed Intchains aims to bolster ETH strategies by launching advanced structured products, designed to lower ETH acquisition costs and enhance yield performance.
FalconX and Intchains Introduce ETH Yield Products
FalconX and Intchains Group have partnered to offer institutional access to Ethereum’s native yield. Structured products focus on ETH accumulation and yield enhancement. This partnership signals an expansion beyond traditional staking methods.
FalconX, a prominent digital brokerage, collaborates with Nasdaq-listed Intchains to bolster ETH strategies. Key actions include launching advanced structured products designed to lower ETH acquisition costs and enhance yield performance.
Intchains Expands ETH Holdings by 26% in Quarter
Intchains’ ETH holdings increased to 8,816 ETH, showing a 26% quarter-over-quarter growth. The anticipated high yields up to 10% annualized could attract more institutional investors, particularly against lower U.S. interest rates.
The initiative could reshape financial outcomes with potential regulatory considerations for structured crypto products. Insights from past crypto market trends suggest positive institutional interest when yields surpass traditional assets.
Qiang Ding, Chairman and CEO, Intchains, “We are excited to strengthen our collaboration with FalconX aiming to enhance our ETH accumulation strategy and boost overall yield performance. Through this initiative, we expect to achieve lower ETH acquisition costs and higher yields, further reinforcing ICG’s leading position in ETH holding while delivering stronger financial results.” source
Ethereum Staking Yields Often Beat Risk-Free Rates
Comparable hybrid ETH yield strategies were observed during the 2022-23 period. Similarly, ETH staking yields drawing institutional interest highlights precedents in crypto financial history for such strategies.
Expert insights reveal that institutions will likely seek enhanced yields amidst low macro rates. David Lawant, Head of Research at FalconX, noted past occurrences where Ethereum’s staking rates notably exceeded risk-free rates.
David Lawant, Head of Research, FalconX, “In the overall crypto bull run around Ethereum prices, we have not seen a large positive spread between Ethereum staking rates and risk-free rates. The only time ETH’s staking rate was significantly higher than the risk-free rate for a relatively long period of time was at the end of 2022, when the industry was struggling with the FTX crash at the bottom of the last bear market.” source
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