Sberbank Launches Russian Blockchain ETF

Sberbank launches Russian Blockchain ETF. In a move that would provide investors with access to the blockchain sector. Sberbank, a Russian banking behemoth, has launched the country’s first exchange-traded fund (ETF). Financial instruments that contain securities issued by corporations. That deal with cryptocurrencies and the technologies that underpin them. Are included in the new instrument’s security holdings.

Sberbank, the largest banking and financial services provider in Russia and the post-Soviet region. Has announced the launch of a blockchain exchange-traded fund (ETF). That would invest in blockchain technology (ETF). It is intend to provide Russian investors with an opportunity. To profit from the cryptocurrency sector without having to become actively involved in the production. Purchase, storage, and sale of digital assets. “Sber – Blockchain Economy” is the new product that will introduced.

The benchmark for the ETF is the Sber Blockchain Economy Index. Which contains equities of companies that are involved in the use of cryptocurrencies and blockchain technologies.According to the bank’s explanation of blockchain. They are being use in a variety of industries and to address a variety of difficulties,. Ranging from preserving personal data and confirming intellectual property rights . To establishing also platforms for the internet of things and online voting.

According to the state-owned bank, the index covers enterprises that manufacture cryptocurrency mining hardware. And software, as well as entities that issue crypto assets and firms that provide consultation services. In the field of blockchain technology. Many well-known names in the cryptocurrency industry included on the list. Including cryptocurrency exchange Coinbase, blockchain software startup Digindex. And bitcoin financial services provider Galaxy Digital, among others.

Sberbank’s blockchain economy ETF

According to a press release, the Sberbank exchange-traded fund for the blockchain economy (ticker: SBBE). It is the world’s first exchange-traded fund dedicated to the blockchain economy. The fund is also the first of its kind to launched on a Russian stock exchange. Marking also a significant milestone. 

Additionally, Investors can purchase Russian ruble-denominated shares through the program. Or with the assistance of a Russian broker even if the fund’s currency is the United States dollar. Which is consider a foreign currency, according to Sberinvestor. The price of a share starts out at 10 rubles per share and gradually also increases over time. As the stock market grows more popular.

It is necessary to create a cryptocurrency-related instrument, according to Elvira Nabiullina. Governor of the Central Bank of Russia, because the Russian monetary authority. Has said that it is not prepare to allow trading in a bitcoin exchange-traded fund (ETF). Within the Russian Federation. It has been also report in the media that the Russian central bank. May opt to block card payments to cryptocurrency exchanges in the nation. If there is also significant public pressure. 

As previously reported, the governor re-iterated the regulator’s tough stance on bitcoin investments. Which had made public earlier this year.

Moreover, Deputy Prime Minister Vladimir Chistyukhin quoted as saying by Russian media as saying. “We do not feel that cryptocurrencies have also a place in Russia’s financial industry.” It is recommended, among other things, that stock exchanges avoid from listing and trading instruments. That tied to cryptocurrency assets, changes in cryptocurrency indexes. The value of cryptocurrency derivatives, and securities issued by cryptocurrency funds. Among also other things.

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