VanEck launches the "on-chain economy" ETF

Source: Cointelegraph Original text: "VanEck Launches 'On-Chain Economy' ETF"

VanEck launches new ETF to invest in the blockchain ecosystem.

On May 14, VanEck announced the launch of a new actively managed exchange-traded fund (ETF), aimed at investing in stocks and financial instruments that provide exposure to the digital economy.

The VanEck On-Chain Economy ETF ( NODE ) has been listed on the Cboe Exchange, aiming to provide investors with broad exposure to companies operating within the blockchain ecosystem, including cryptocurrency miners, exchanges, infrastructure providers, and fintech platforms focused on cryptocurrency, VanEck stated in a press release.

VanEck stated that the NODE ETF will also "consider any companies that have clearly expressed plans to enter the field, which must be verified through public documents, earnings call meetings, or investor materials."

In addition, according to the press release, this actively managed fund may also invest in crypto-related financial instruments, but will not directly hold any cryptocurrencies.

"As new companies enter the investment space through IPOs, spin-offs, or strategic transformations, we will continue to update the range of investable assets," said Matthew Sigel, Head of Digital Asset Research at VanEck and Portfolio Manager of the NODE ETF, in a statement.

He said: "We will also adjust the beta coefficients and volatility to maintain a reasonable exposure to Bitcoin and support the on-chain economic growth of enterprises, avoiding excessive allocation to high-beta assets during market bubbles, and preserving purchasing power for future opportunities."

The beta coefficient refers to the sensitivity of a financial asset to market volatility.

In April, VanEck launched another ETF tracking cryptocurrency companies. The VanEck Digital Transformation ETF ( DAPP ) invests in a passive index composed of companies operating in the digital asset space.

According to its website, as of May 14, the DAPP ETF has net assets of $185 million.

Asset management companies like VanEck are applying for licenses from the U.S. Securities and Exchange Commission (SEC) to list more than 70 cryptocurrency ETFs.

The recent wave of ETF applications is a positive response to U.S. President Donald Trump's easing of the SEC's regulatory stance on cryptocurrencies after taking office in January this year.

On May 5, VanEck submitted an application to the SEC seeking approval to list an ETF that holds Binance Coin (BNB) native tokens.

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