Invesco CoinShares Global Blockchain UCITS ETF has delivered a return of 94% in the past one year and 53% since its inception in March 2019.
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The Securities and Exchange Board of India (Sebi) has given the nod to Invesco CoinShares Global Blockchain ETF Fund of Fund (FoF), which will be India’s first scheme that offers exposure to global companies participating in the blockchain ecosystem.
The feeder fund will invest into Ireland-domiciled Invesco CoinShares Global Blockchain UCITS Exchange-traded Fund (ETF). The fund holds investments such as Canadian bitcoin miner Bitfarms Ltd, US crypto exchange Coinbase Global Inc., and the world’s biggest corporate crypto holder MicroStrategy Inc.
The underlying fund was earlier called Invesco Elwood Global Blockchain UCITS ETF. The name was changed after digital asset manager CoinShares International Ltd acquired the ETF index business from Elwood Technologies. The new fund offer for Invesco CoinShares Global Blockchain ETF FoF will open on 24 November and close on 8 December. The fund managers to the scheme would be Neelesh Dhamnaskar and Krishna Cheemalapati (for debt investments).
Blockchain is a digital ledger system that facilitates the process of recording transactions and tracking assets in a network. Virtually anything of value can be tracked, from medical records to food supply chain transactions, using the blockchain technology.
The approval of a blockchain fund by an Indian regulator has come at a time the government aims to come out with regulations on cryptocurrencies such as bitcoin and ethereum.
“As blockchain technology is still in its early days, the potential for changing the global economy is immense. Like the internet, blockchain presents an opportunity for investors who can capture this hidden potential," Invesco MF said in the product document.