VanEck Launches Actively Managed Digital Asset ETF With 0.69% Fee

VanEck, a prominent investment management firm, has announced its plans to launch an actively managed Exchange-Traded Fund (ETF) that will track digital asset stocks. This move comes after the firm received approval from the U.S. Securities and Exchange Commission (SEC). The new ETF, named the VanEck Onchain Economy ETF (NODE), aims to hold between 30 to 60 stocks, with a management fee of 0.69%.

The fund's portfolio will encompass a diverse range of sectors, including cryptocurrency exchanges, miners, data centers, energy infrastructure, semiconductors, hardware, traditional financial infrastructure, consumer/gaming, asset management companies, and "balance sheet holders." Notably, up to 25% of NODE's exposure will be invested in cryptocurrency exchange-traded products (ETPs).

Matthew Sigel, VanEck's Director of Digital Asset Research, highlighted the strategic importance of this ETF. By focusing on companies that are integral to the digital asset ecosystem, NODE aims to provide investors with a comprehensive exposure to the growing cryptocurrency market. This ETF is designed to offer a balanced investment opportunity, combining the potential for high returns with the stability of established companies in the digital asset space.

The launch of the VanEck Onchain Economy ETF (NODE) is a significant development in the financial industry, as it represents a growing trend of institutional investment in digital assets. This ETF will allow investors to gain exposure to the cryptocurrency market without directly holding digital currencies, thereby mitigating some of the risks associated with volatile cryptocurrency prices. The ETF's diverse portfolio and active management strategy are expected to attract a wide range of investors, from those new to the cryptocurrency market to seasoned investors looking to diversify their portfolios.