BlackRock announces the establishment of a blockchain sector ETF, naming the cryptocurrency as one of the top three potential

The world’s largest asset management has established a blockchain exchange-traded fund (ETF), giving customers more exposure to cryptocurrency and blockchain-related enterprises.

The Blockchain and Tech ETF (IBLC) was added to the iShares product line on Wednesday by the world’s largest asset manager, which presently manages around $10 trillion in assets.

BlackRock has announced the creation of a blockchain-focused exchange-traded fund (ETF) that allows investors to gain exposure to the crypto and blockchain industries without having to purchase digital assets directly.

The $4.7 million ETF does not own cryptocurrencies or digital assets directly, but rather follows a number of foreign companies participating in the sector.

The ETF now has a solid 9.15 percent USD cash position, indicating that it is ready to make future buys.

The ETF is made up of 41 different assets, with Coinbase, a cryptocurrency exchange based in the United States, accounting for 11.45% of the total. Marathon Digital Holdings, with 11.19 percent of the total holdings, and Riot Blockchain Inc., with 10.41 percent, are the next largest Bitcoin (BTC) miners.

In conjunction with the launch of the new ETF, BlackRock released a paper outlining three major market segments that are now undergoing significant changes.

The paper details just how bullish BlackRock is on the crypto industry, stating that while most of the attention directed toward digital assets focuses on the price and volatility, the actual value of blockchain is yet to be fully realized:

“We believe the broader opportunity — leveraging blockchain technology for payments, contracts and consumption broadly — has not yet been priced in.” The paper also brings attention to the adoption of central bank digital currencies (CBDCs), noting that 87 countries are currently in the process of exploring the technology.

Crypto ETFs are growing in popularity among institutional investors as a way of gaining exposure to the cryptocurrency industry. Discussions concerning a spot Bitcoin ETF have been re-ignited after a recent Nasdaq survey revealed that 72% of the 500 financial advisers interviewed would be more likely to invest client funds in a spot fund over a futures-based one.

News Summary:

• BlackRock announces the establishment of a blockchain sector ETF, naming the cryptocurrency as one of the top three potential
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