Russian bank Sber launches blockchain ETF to track Coinbase, Galaxy Digital

The Russian government-backed company and the country’s largest bank Sber are launching blockchain exchange-traded funds (ETFs) to track the performance of major crypto companies such as Coinbase and Galaxy Digital.

Sber Asset Management officially Announce News on Thursday stated that the new ETF is related to various blockchain and crypto industry companies, including hardware and software providers for mining and issuing crypto assets.

The fund is called “Sber-Blockchain Economy”, its stock code is SBBE, and will track the index of the same name developed by Sber’s investment subsidiary SberCIB.

SBBE’s investment portfolio will include some of the world’s largest crypto companies, including Coinbase, the largest exchange in the United States; Mike Novogratz’s investment company Galaxy Digital; and blockchain software provider Digindex.

Although the currency of SBBE is U.S. dollars, investors will be able to buy shares in Russian rubles in the SberInvestor app or through “any other Russian broker”. The announcement stated that the stock price starts at 10 rubles ($0.013).

According to the announcement, Sber’s blockchain ETF will become “the first ETF in Russia that allows investors to make money in the blockchain market without encountering difficulties related to the direct development, purchase, holding, and sale of digital currencies.”

“Direct investment in crypto assets has a high level of risk, so it is difficult to handle it yourself. Therefore, we are not proposing to invest in cryptocurrencies, but companies that focus on the development of blockchain technology,” said Evgeny Zaitsev, CEO of Sber Asset Management. He added that the new ETF will be available to “any individual”.

related: Russian banks allow crypto investment through foreign companies: report

The news was released shortly after Sber Asset Management’s executive officer Vasily Illarionov disclosed the company’s blockchain ETF plan in mid-December.He said that the fund Not restricted by Russian banks And can be provided to retail investors.

As previously reported, the Central Bank of Russia prohibits mutual funds from buying cryptocurrencies such as Bitcoin (Bitcoin) And provide cryptocurrency exposure to qualified or unqualified investors.