Despite the fact that it was just its initial day of trading, the BetaShares Crypto Innovators ETF (ASX: CRYP) did not disappoint. In reality, it witnessed an unprecedented number of transactions within minutes of the market opening bell sounding.
This was sustained throughout the day due to robust investor demand. On November 4, CRYP registered transactions for $39.7 million, shattering the earlier record of $8 million established in March 2021, and breaking the milestone of $8 million.
As of the conclusion of the day, the fund had started at $11.25 per unit and finished at $11.19 per unit. With 400,000 in outstanding bonds, net assets are presently valued at around $4.4 million. CRYP offers investors with exposure to a collection of global enterprises that are at the vanguard of the crypto-economic revolution. It keeps track of the Bitwise Crypto Industry Innovators Index, which is updated daily (before fees and expenses).
According to Alex Vynokur, chief executive of BetaShares, investor appetite for access to cryptoassets is substantial, as indicated by the record level of investor interest in CRYP this year. The exchange-traded fund (ETF) is the first to provide Australian investors with exposure to a variety of crypto-related assets via the Australian Securities Exchange (ASX).
However, the BetaShares Crypto Innovators ETF does not make direct investments in cryptocurrencies such as Bitcoin (CRYTPO: BTC) or Ethereum (CRYTPO: ETH) (CRYPTO: ETH). As an alternative, it provides investors with exposure to a diverse variety of cryptocurrency mining and blockchain-related enterprises.
According to the company’s website, the cryptocurrency ETF would store up to 50 such assets. At the moment, it has 32 entries.
As of this morning, the company’s biggest holdings are as follows:
- Silvergate Capital Corp (12.3%),
- Marathon Digital Holdings Inc (12.1%)
- Galaxy Digital Holdings Ltd (11.6%)
- Coinbase Global Inc (10.1%).
“This is an exciting time for us as we set the pace in ensuring that Australian investors have regulated, cost efficient, transparent, and quick access to the growing world of digital assets. Although it is important to emphasise the significance of diversification, we believe that investments in cryptoassets should be viewed as part of a widely diversified portfolio, as opposed to being treated as a stand-alone” Vynokur said himself.
Following the successful launch of CRYP, BetaShares will launch two further cryptocurrency funds. A Bitcoin (1BTC) exchange-traded fund and an Ethereum (1ETH) exchange-traded fund will be launched in the near future.
Recent guidance from corporate regulator ASIC on admission and monitoring requirements, custody, pricing methodology, transparency, and risk management best practises helped pave the road for cryptocurrency exchange-traded funds (ETFs).
