China Is About To Have Its First Blockchain ETF

China has recently announced that they are about to introduce for the first time a blockchain exchange traded fund, better known as an ETF. China’s national regulatory body that oversees securities and futures exchanges in the country CSRC (China Securities Regulatory Commission) has accepted a proposition for creating an exchange-traded fund (ETF) tasked with tracking stocks relying on blockchain.

According to the official information provided by the Chinese regulator, an independent asset manager Penghua Fund filed the application named Penghua Shenzhen Stocks Blockchain ETF. CSRC accepted the application on December 24.

The main task of the ETF will be monitoring and showing the performance of public stocks in Shenzhen where businesses have blockchain-related stocks.

As Shanghai Securities News report from Thursday has it, if CSRC approves the proposition, it will be the first China’s ETF geared towards blockchain and open to public investors.

The proposition was received shortly after the Shenzhen Exchange Stock published a Blockchain 50 Index, listing the exchange’s 50 stocks which now reside in the blockchain space.

According to the statement made be Shenzhen exchange on December 24, the index is formed by monitoring stocks related to the blockchain insustry and chooses the top 50 with regard to market capitalization.

The latest index lists software companies, banks and internet companies enrolled in cryptocurrency mining like Wholeasy, which invested $80 million in Bitcoin miners in 2018.