SberBank Introduces Russia’s First ETF for Investors to Earn on Blockchain Economics

Sber Asset Management, the subsidiary of Russia’s largest bank Sberbank, has established Sber – Blockchain Economics, the first ETF in the country positioning investors to earn on blockchain economics without the challenges associated with the development, purchase, storage, and selling of digital assets.

The ETF is available to anyone due to its simplicity and low entry threshold, while offering a ready-made set of securities of promising innovative international companies that specialize in the development of fintech and breakthrough technologies, according to Evgeny Zaitsev, CEO, Sber Asset Management.

According to the official press release, the new ETF follows the Sber Blockchain Economics Index developed by SberCIB, including securities of companies whose core operations are related to distributed ledger technology. These companies are being used in a wide variety of industries and solve many problems – from protecting personal data and confirming copyright to creating IoT platforms and online voting. For instance, the index includes companies producing hardware and software for crypto mining and crypto asset creation, and even companies providing blockchain consulting services.

The list of ETF issuers includes Coinbase, a cryptocurrency exchange platform, Diginex, a developer of blockchain-powered software, Galaxy Digital, a crypto-currency dealer, and other famous companies.

Besides, the fund invests dollars. Investors can buy its shares for rubles in the SberInvestor application or by addressing any Russian-based broker. The price of shares starts at RUB 10.

“There are hardly any people left who have never heard of blockchain. This technology is developing so quickly and dynamically that it is simply beyond the power of an ordinary investor to keep track of it. Direct investment in crypto assets is associated with high risks. Evaluating them on your own is hard, so instead of investing in crypto assets, we suggest you invest in companies that ensure the development of blockchain,” Evgeny Zaitsev added.

At the end of 2021, Fazzaco reported that the Bank of Russia was searching for ways to prohibit Russians from making investments in digital currencies. And one option under consideration is to block card payments to crypto marketplaces​, report reveals.