While the US is still pondering on a Bitcoin ETF, China is moving forward in to the future by preparing to launch its first blockchain ETF, it seems.
Penghua Fund, a Shenzhen-based asset management company, has recently filed an application for a blockchain ETF, a document that was accepted by CSRC or the China Securities Regulatory Commission this past Tuesday. The information comes from media outlet Shanghai Securities News.
The ETF is called Penghua Shenzhen Stocks Blockchain ETF and will track the performance of listed companies in Shenzhen, all of which have blockchain-related business lines. While the future of the ETF and the application is far from certain, if approved, China will have its first blockchain investment instrument that is available to the public.
Interestingly enough, the ETF application was filed the same day that the Shenzhen Stock Exchange (SZSE) released a new index tracking the performance of fifty companies in he blockchain realm.
The blockchain boom that China is experiencing currently is primarily owing to the “blessing” of the Chinese President Xi Jinping, who showed his support for the technology and urged the entire country to capitalize on the potential of blockchain.
And while China may soon have its blockchain ETF, the ETF “situation” in the US is far from settled, as the SEC keeps delaying or rejecting Bitcoin ETFs – a product that has been long awaited by the crypto community, but seems to never realize in the near future.