BlackRock’s Newest ETF Invests In 35 Blockchain-Related Companies

BlackRock, the world's largest asset manager, has launched a new exchange-traded fund (ETF) to give European clients exposure to the blockchain industry, while reports suggest that a Metaverse-focused ETF could be on the way. 

The new blockchain ETF was launched in September. The 27 iShares Blockchain Technology is called the UCITS ETF.

BlackRock said that 75% of its holdings are made up of blockchain companies such as miners and exchanges, while the other 25% are companies that support the blockchain ecosystem.

The fund includes 35 global companies out of a total of 50 holdings, which also include fiat cash and derivatives, but do not invest directly in cryptocurrencies.

The BLKC marks the latest in a series of moves into the digital assets space for BlackRock, the latest being the launch of a dedicated spot Bitcoin trust in August. 11.

In the month of September. Product Strategist for BlackRock ETF report from the thematic and Sector 29 Finextra moufti Omar, ETF's “developing the blockchain ecosystem to our customers in the development of leading global companies would offer the opportunity for you to interact with,” said: We believe digital assets and blockchain technologies are going to become increasingly relevant as develop use cases for our clients in scope, scale and complexity.”

The top five holdings in the fund are Coinbase (13.20%), USD cash (13.00%), fintech firm Block (11.40%), crypto mining firms Marathon Digital Holdings (11.13%) and Riot Blockchain (10.50%).

September's other holdings include 23 IT companies, six financial companies, one industrial company and one communications company, with a total of 50 holdings as of Dec. 28.

However, a Bloomberg report on September. 29, Suggests Blackrock may be working on another Metaverse-focused ETF, called the iShares Future Metaverse Technology and Communications ETF.

The fund's fees and invoices have not yet been listed, but could include “firms with products or services connected to virtual platforms, social media, games, digital assets, augmented reality and more," the report said.”

The Metaverse ETF follows insights released February. 14. Reid Menge, co-portfolio manager of the BlackRock Technology Opportunities Fund, called the Metaverse a “revolution in the making."”

In the month of August. On December 4, Coinbase announced that it had entered into a partnership with BlackRock and reaped the rewards of the partnership with its high weight in blkc.

The partnership provides institutional investors with the ability to access crypto through the Coinbase Prime service.

Source: cointelegraph.com