VanEck is about to debut its new exchange-traded fund beneath the ticker NODE, on Might 14, increasing its lineup of crypto-related funding merchandise.
VanEck’s head of digital property, Matthew Sigel, introduced in an Apr. 16 put up on X that the U.S. Securities and Change Fee has permitted its upcoming ETF, NODE. The agency plans to launch the ETF on Might 14, providing fairness publicity to firms shaping the digital asset and blockchain financial system.
Dubbed the Onchain Financial system ETF, NODE positions itself as a bridge for traders to entry the rising digital asset financial system with out instantly holding crypto. It should provide diversified publicity to public firms constructing blockchain-based infrastructure.
30 to 60 publicly traded firms out of a pool of greater than 130 might be included within the actively managed ETF. These companies function throughout a broad spectrum of industries linked to crypto infrastructure, reminiscent of asset managers, knowledge facilities, exchanges, Bitcoin miners, and {hardware} producers.
The fund may allocate as much as 25% of its holdings to crypto-linked exchange-traded merchandise. The ETF will cost a administration price of 0.69% and won’t put money into cryptocurrencies instantly.
As a substitute, it targets “Digital Transformation Companies,” described in SEC filings as companies producing income from blockchain, crypto, or distributed ledger know-how. It additionally contains overseas securities, mid-cap shares, and commodities-linked devices.
To extend its publicity, NODE will make investments by means of a Cayman Islands subsidiary that allows oblique entry to commodity futures, swaps, and different automobiles whereas adhering to U.S. tax rules. The fund will exclude stablecoins and restrict investments within the subsidiary to 25% of its complete property per quarter.
VanEck goals to proceed rising its choice of cryptocurrency ETFs with this launch. It has utilized for different cryptocurrency-focused ETFs, reminiscent of people who monitor Avalanche (AVAX) and Binance Coin (BNB). Its spot Bitcoin (BTC) ETF, HODL, presently manages greater than $1.2 billion in property.
