VanEck has launched an ETF on the London Stock Exchange targeting companies said to be driving forward the digital transformation of the economy with digital assets.
These digital assets are blockchain-based applications ranging from cryptocurrencies such as bitcoin to non-fungible tokens or decentralised programmes.
The firm’s CEO for Europe, Martijn Rozemuller, said: “This is not just short-term hype, but rather is a long-term, structural development. Blockchain applications are finding more areas of use that now extend way beyond cryptocurrencies. Consequently, investors are increasingly looking to digital assets for investment opportunities.”
The VanEck Vectors Digital Assets Equity Ucits ETF will invest in companies operating in the crypto and blockchain industries. It won’t invest in cryptocurrencies or digital assets directly or indirectly, however.
The portfolio will include digital asset trading platform providers, hardware manufacturers, crypto-mining companies, and payment providers.
The digital assets ETF tracks the MVIS Global Digital Assets Equity Index, which only includes companies that already generate at least 50% of their revenue from digital asset projects or have the potential to do so.