STOCKHOLM, OCTOBER 17, 2017 - The Board of Directors of XBT Provider AB (Publ) (the "Issuer") confirms that, in accordance with the Issuer's Press Releases of July 28th and August 2nd, the Issuer entered into a 3 month "observation period" during which the Issuer and Guarantor have been evaluating how the value created from the bitcoin fork that resulted in Bitcoin Cash (BCH) may be distributed.

The Board of the Issuer wishes to reiterate that investors in the Issuer's Certificates are not holders of bitcoin. As disclosed in the Issuer's Prospectus, its Certificates synthetically track the price of bitcoin (and not any alternative coin which results from a forking, split or any other event and which shares a common transaction history prior to the fork). A hedging arrangement exists between the Issuer and group companies of the guarantor of the Certificates, Global Advisors (Jersey) Limited (the "Guarantor"). Those group companies of the Guarantor hold bitcoin to support the Issuer's Certificates. However, notwithstanding that the Issuer and the Guarantor have no legal requirement to distribute any value created from a fork (including the BCH fork) (other than any enhanced performance of the coin which remains as 'bitcoin'), the Issuer wishes to pass such value created (or as much thereof as is practicable) through to the holders of its Certificates at the time of the fork.

Following detailed discussions during the "observation period" with various settlement and clearing third-party service providers and key structured products advisors, the Board of the Issuer has concluded that the most appropriate action to take to give effect to the aforementioned policy position is to implement a cash distribution plan for those investors holding the Issuer's Certificates at the opening of trading on August 1st. To prepare for the implementation of this distribution plan, the Guarantor and its affiliate companies have been divesting themselves of BCH, whenever it has been possible using existing liquidity pools and exchanges that offered BCH to their venues. The proceeds yielded therefrom, less the costs of implementing and administering the distribution plan, will be available for remittance for the benefit of the holders of the Issuer's Certificates at the opening of trading on August 1st. Individuals and / or brokers may be required to provide additional identification / 'know your customer' information in order to be able to receive a distribution.

The Issuer will provide further details in connection with the proposed distribution plan, by way of a supplement Press Release, shortly after the 3 month "observation period" has ended on November 2nd.

The Issuer's Board would like to reiterate from its Press Release of 29th July that the circumstances of each bitcoin fork are unique and their relative significance varies. The technical construction of each fork, and the ideology it represents, varies from one fork to another. Prevailing market-conditions at the time of and following each fork are also variable. For such reasons, the policy of the Issuer (as outlined in its Press Release of 29th July) is to consider the appropriate action to take in light of each fork event on a case-by-case basis. What is appropriate in the context of one fork may not be advisable in the context of a different fork. Accordingly, the cash distribution plan to be implemented in connection with the BCH fork, as referred to herein, should not be regarded as setting a definitive precedent for the action which the Issuer may take on the occurrence of any future fork.

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For More Information please contact: Fitch Carrere | fitch@coinshares.co.uk

XBT Provider AB (Publ), a CoinShares company, is the Swedish-domiciled issuer of Bitcoin Tracker One and Bitcoin Tracker Euro (COINXBT:SS, COINXBE:SS, respectively) and Ether Tracker One and Ether Tracker Euro (COINETH:SS and COINETHE:SS). These trackers are designed to mirror the return of the underlying asset, bitcoin (in Swedish Kronor and Euro, respectively). In 2015, Bitcoin Tracker One became the first bitcoin-referenced security available on a regulated exchange when it listed on NASDAQ in Stockholm. In 2017, Ether Tracker One became the first ether-referenced security available on a regulated exchange when it listed on NASDAQ in Stockholm. All four certificates are available in 179 countries and are traded in the same manner as any other share or instrument listed on the Nasdaq exchange in Stockholm. The Issuer's Prospectus is approved by the Swedish FSA (Finansinspektionen) and its products are listed on Nasdaq Nordic in Stockholm. XBT Provider AB (Publ) is not a licensed financial advisor. The views presented in this release are the opinions of the Board of XBT Provider AB (Publ) and no other party. Bitcoin and ether are volatile assets and their prices (and the price of securities that are referenced to them) can move quickly. Prospective investors in the Issuer's certificates should carefully consider the suitability of such an investment and, in connection with such a determination, should carefully read the Issuer's latest Prospectus (including, in particular, the risk warnings set out therein).