Product Spotlight: Tokenized Tracker on Physical Uranium

Note: GenTwo is a platform provider for structured products. This information is intended for professional investors only.

What is this product?

A tracker certificate giving professional investors exposure to physical uranium using xU3O8, a token representing beneficial ownership of uranium oxide (U3O8) held in regulated storage in Canada as the underlying asset. It packages a commodity whose physical market is largely confined to utilities and specialist traders into a single Swiss-law security settled in cash.

How does it work?

The certificate tracks a reference portfolio of xU3O8 tokens and a cash position, and its value on any trading day is based on the value of that portfolio divided by the number of certificates outstanding. The product is open-ended with no fixed maturity, and holders can place secondary-market orders daily through the paying agent, processed on a best-effort basis. If the issuer terminates the product, the certificate redeems in cash in US dollars; holders have a claim against the issuer and receive neither tokens nor physical uranium.

What is the underlying asset?

The underlying is xU3O8, a digital token in which each unit represents proportional beneficial ownership of physical uranium oxide (U3O8). The uranium oxide itself is held in trust in secure storage facilities operated by Cameco Corporation, one of the world's largest publicly traded uranium and nuclear fuel companies, headquartered in Saskatchewan, Canada. U3O8, commonly called yellowcake, is the concentrate produced at uranium mines and the form in which uranium is traded before being converted and enriched into reactor fuel. The token is powered by Tezos smart contract technology and was introduced in 2024 through the uranium.io platform (now metals.io), with Archax responsible for tokenization and for keeping ownership records.

Physical uranium has traditionally been bought and held mainly by utilities and fuel-cycle companies under long-term contracts, which leaves financial investors few direct routes to the commodity itself. Tokenized ownership of stored material is one of several structures, alongside listed physical holding vehicles, that give investors exposure to the physical asset rather than to mining equities.

Who is behind it?

Zuri-Invest AG, based in Switzerland, acts as investment advisor to the product. The certificate is issued by ZI5 Issuer SPC Ltd., a Cayman Islands segregated portfolio company, on behalf of a segregated portfolio created specifically for this product. InCore Bank AG (Switzerland) serves as paying agent, Archax Ltd (United Kingdom) as storage provider for the tokens, and Cameco Corporation holds the physical uranium in its Canadian facilities. GenTwo AG provides the securitization infrastructure.

What kind of instrument is this?

A tracker certificate is a structured product that tracks the performance of an underlying asset or portfolio. Investors gain exposure to the underlying's returns without owning the physical assets directly, holding instead a claim against the issuer for payment at maturity or redemption.