Canada: Coincapital launches its first Blockchain ETF

Coin Capital Investment Management Inc. (Coincapital), the portfolio management division of the Coinsquare digital asset trading platform, has listed a blockchain exchange traded fund (ETF), the STOXX Blockchain Patents Innovation Index Fund (LDGR), among two new ETFs the company has listed on the Toronto Stock Exchange.

Coin Capital Investment Management, a portfolio-management subsidiary of the Canadian crypto startup, reportedly listed the Coincapital STOXX Blockchain Patents Innovation Index Fund (LDGR) on the TSX on Thursday morning.

As its name implies, LDGR will provide interested investors with a way to invest in promising blockchain-related innovations via an alternative investment vehicle that charges low fees (0.64%). More specifically, this new fund, which flew under the radar of most, will hopefully allow consumers to gain exposure to “global equity securities” of firms that are heavily invested in the research and development of blockchain technologies.

According to the aforementioned report from local media, this new ETF has been inspired by iSTOXX’s Yewno Development Markets Blockchain Index, which reportedly holds stock in Mastercard, Johnson Controls and the Royal Bank Of Canada.

Along with the launch of LDGR, Coinsquare will also be launching THINK, a similarly-structured fund with a focus on biotechnology, robotics, artificial intelligence, and nanotechnology.

Speaking on the news, the chief executive officer of Coin Capital, Lewis Bateman, said: “Canadians know technologies like AI and the blockchain are going to change the way we live and work, but it can be difficult to access high-quality investments in these sectors without deep domain expertise.”

The LDGR is not the first blockchain ETF to be listed in Canada.

Horizons ETFs Management Canada Inc introduced the Horizons Blockchain Technology and Hardware Index ETF earlier this year. The ETF backs companies such as Hive Blockchain Technologies Ltd, Nvidia Corp, Digital Realty Trust Inc. which develop blockchain hardware and services.