Russian bank giant Sberbank presented Russia’s first exchange-traded funds (ETF), giving investors access into the blockchain space. This new instrument holds securities from companies that deal with cryptocurrency and the technologies they underpin.
Sberbank Launches ETF Tracking Blockchain Economy Indix
Sberbank, Russia’s largest financial services provider and banking institution, announced the launch a blockchain ETF. Sber – Blockchain Economy is a new product that aims to give Russian investors the opportunity to make a profit in the crypto sector. It does not require them to be directly involved in the acquisition, development, storage and sale of digital assets.
The ETF tracks securities issued by companies using cryptocurrencies or blockchain technology. The bank stated that they are being used in many industries today and solve a variety problems, from protecting personal data and confirming copyright to creating platforms and internet of things and voting.
The index includes crypto mining software and hardware producers, crypto asset issuers, and consulting firms in blockchain. The list includes well-known names such as Crypto exchange Coinbase, Digindex, a blockchain software developer, and Galaxy Digital, a crypto financial services provider.
Sberbank stressed that the blockchain economy ETF (ticker SBBE) was the first such fund on the Russian stock exchange. According to the bank, although the fund’s currency will be U.S. Dollars, investors can purchase shares in Russian rubles via the Sberinvestor app or by contacting any Russian broker. The share price starts at 10 rubles.
After Elvira Nabinullina, the head of Russia’s Central Bank, said in October that the Russian Federation was not ready to allow trading of a bitcoin ETF, the Central Bank of Russia is introducing the crypto-related instrument. The governor reiterated his firm stance on cryptocurrency investments in December. A report also revealed that the CBR wanted to block payments from crypto exchanges to cards.
Russian media quoted Nabiullina’s deputy Vladimir Chistyukhin as saying that “we don’t see any place for cryptocurrency on the Russian financial market.” Bank of Russia advised stock markets earlier this year to avoid trading and listing instruments linked to crypto assets. They also recommended that crypto indices changes be reflected in the price of crypto derivatives.
This story contains tags
Bank, Bank of Russia. Blockchain, Blockchain Economy Index. Blockchain ETF. CBR, Central Bank. Cryptocurrencies. Cryptocurrency. ETFs. Exchange traded fund, instrument. offering. Russia, Russia.
Are you expecting to see additional offerings like the Sberbank blockchain ETF in Russia. Please leave your comments below.
Lubomir Tassev, a journalist hailing from tech-savvy Eastern Europe, likes Hitchens’s quote: “Being an author is what I am rather than what it is.”
Image Credits: Shutterstock. Pixabay. Wiki Commons.
Disclaimer: This article is intended for informational purposes only. This article is not intended to be a solicitation or offer to buy or sell any products or services. Bitcoin.com is not a provider of investment, tax, legal or accounting advice. The author and the company are not responsible for any loss or damage caused or alleged caused by the use or reliance of any content, goods, or services in this article.