Polygon ETN

ISIN: DE000A3GV1U5

  • Largest and one of the first Ethereum scaling solutions
  • Leader in consolidation game
  • Platform of choice for Ernst & Young’s blockchain solutions
  • Pioneer in trailblazing ZK validation mechanism
  • Tradeable like an ETF on regulated stock exchanges

Risk: You may lose money up to the total loss of your investment due to the extreme volatility of this asset class and the Main Risk Factors described below and additional risks described in the sales prospectus.

Polygon: An Astonishing Growth Story

Already in 2017, only 2 years after the launch of Ethereum, 4 visionary computer scientists saw the need to provide a solution allowing to increase the number of transactions on Ethereum. Fast forward to today and their platform Polygon has become the global #1 Ethereum scaling solution, employing 100 staff of which 80% software engineers.

What Makes Polygon Special?

Polygon contains a rare combination of strengths, explaining its phenomenal increase in market cap.

Icon

The largest Ethereum scaling solution

Ethereum scaling solutions (“rollups”) comprise several different technologies, including optimistic rollups, ZK rollups, state channels, payment channels, commit-chains, and sidechains. Of these, ZK rollups hold particular promise, according to Ethereum founder Vitalik Buterin, but have been hampered by long development times and the technical challenges associated with decentralizing such a complex compression system. As ZK rollups have matured, Polygon has made two acquisitions in the space (Hermez & Mir) and now sports the widest network of layer 2 rollups.

Strong Adaption Numbers

At what ever metric you look, adoption of Polygon has been stellar.

Polygon Performance

The VanEck Polygon ETN is based on the MVIS CryptoCompare Polygon VWAP Close Index and closely tracks the polygon price.

x
x

Source: VanEck, MVIS. The performance quoted represents past performance which is not a reliable indicator of future results. Future performance may be lower or higher than current performance. Investment returns will fluctuate so that investors' shares, when redeemed, may be worth more or less than their original cost.

VanEck Polygon ETN

ISIN: DE000A3GV1U5


  • Largest Ethereum scaling solution
  • Leader in consolidation game
  • Tradeable like an ETF on regulated stock exchanges
  • Fully collateralized
  • 1.5% total expense ratio

Risk indication: 7 out of 7

Lower risk: Typically lower reward

Higher risk: Typically higher reward

Main Risk Factors

Despite all the hype, digital assets are a highly risky investment. Below are key risk factors that need to be considered before making an investment.

Icon

The trading prices of many digital assets have experienced extreme volatility in recent periods and may well continue to do so. Digital assets were only introduced within the past decade and regulatory clarity remains elusive in many jurisdictions. Digital assets' value depends on such regulation remaining favorable, as well with the technological capabilities, the development of protocol networks, competition from other digital asset networks and from forks. Volatility can be strongly amplified by transactions from speculative investors, hedge funds and other large investors. You may experience losses if you need to sell your Shares at a time when the price of the underlying digital asset is lower than it was when you made your prior investment. Even if you are able to hold Shares for the long-term, your Shares may never generate a profit.

For more information on risks, please see the “Risk Factors” section of the relevant ETN’s prospectus, available on www.vaneck.com.

Subscribe to our Newsletter

Receive monthly updates with valuable financial insights and ideas on investment opportunities.

*
*
*
*
*

Delayed Ethereum Merger Proves Costly

Fallout continued from Ethereum’s delayed transition from proof of work to proof of stake. We take a closer look at the impact, and discuss the prospects of widening adoption of NFT technology.

Read Blog

Why Invest in VanEck ETNs?

  • VanEck is one of the largest providers of crypto exchange-traded notes (ETNs) in Europe; our product offerings are constantly evolving to ensure broad access to innovative opportunities.
  • Our ETNs offer a convenient method to invest in crypto by gaining exposure to the price of coins without the technical difficulties related to coin storage.
  • Our Notes are 100% collateralized; they all are fully invested in the underlying crypto native token.
  • VanEck aims to provide access to the widest possible audience; our ETNs are among the most cost-effective available.