US-based investment management company AdvisorShares and investment consulting company Sabretooth Advisors will jointly launch an ETF that tracks technology companies, including those related to blockchain and cloud computing, reports MarketWatch.
ETFs are exchange-traded securities that track a basket of assets, proportionally represented in the fund's stocks. ETFs are offered across all asset classes, including traditional investments and alternative assets, such as commodities or currencies, which also allow investors to open short positions or get leverage.
The idea of the AdvisorShares Sabertooth ETF fund (BKCH ticker), which is expected to enter the market on February 7, is that companies deploying cloud computing and associated with new technologies such as the blockchain can achieve increased profitability as well as higher prices for their shares. within a reasonable time.
Many consider the emergence of cryptocurrency ETFs among other derivatives to be a sign that these markets are developing. In February 2018, Canadian regulators approved the country's first blockchain ETF, targeting both large and small blockchain companies. By that time, the ETF issuer Harvest Portfolios already had its own Harvest Blockchain Technologies Index, designed to track issuers in both large-cap segments and emerging blockchain segments.
In early February, VanEck and SolidX again filed a Bitcoin ETF application with the SEC. The company's previous application was withdrawn due to the temporary suspension of the US government. In addition, in January, the NYSE Arca filed its own offer with Bitwise Asset Management.
Gemini Exchange and its founders also do not lose hope for the creation of Bitcoin ETF - in January the exchange passed the SOC-2 check at one of the world's largest audit firms Deloitte. The creators of the site believe that the passage of such a serious audit will incline the SEC towards the approval of the exchange's request for a Bitcoin ETF.