BlackRock Launches ETF For Blockchain-Related Companies

BlackRock, the world’s largest asset manager, has launched a new exchange traded fund (ETF) for its European clients that will give them exposure to blockchain-related companies. Last month, the investment giant launched its first crypto-related product, a private spot Bitcoin trust.

The new blockchain ETF called “iShares Blockchain Technology UCITS ETF” with the ticker BLKC, was released on September 27. The Blackrock ETF is largely dominated by blockchain companies such as miners and exchanges (75%), with the remaining (25%) consisting of companies that support blockchain development.

The fund has 50 holdings consisting of 35 global companies, including 23 IT companies, six financial companies, one industrial company and one communications company. It also includes fiat cash and derivatives but does not directly invest in cryptocurrencies.

Some of the prominent holdings in the ETF include crypto exchange Coinbase (13.2%), stablecoin USDC (13%), crypto fintech firm Block (11.4%), crypto mining company Marathon Digital Holdings (11.13%) and Blockchain network Riot (10.5%).

According to reports, BlackRock is also working on releasing a metaverse-focused ETF called the iShares Future Metaverse Tech and Communications ETF.

In August, BlackRock entered into a partnership with cryptocurrency exchange Coinbase to offer digital asset exposure to institutional investors through the Coinbase Prime investment service.

“The ETF will allow our clients the opportunity to engage with global companies leading the development of the emerging blockchain ecosystem. We believe digital assets and blockchain technologies are going to become increasingly relevant for our clients as use cases develop in scope, scale and complexity,” said Omar Moufti, Product Strategist for Thematic and Sector ETFs at BlackRock.