Defiance ETFs launched the $DEFIANCE DIGITAL REVOLUTION ETF(NFTZ.US)$ on Thursday, which offers investors thematic exposure to the NFT (Non-Fungible Tokens), blockchain and cryptocurrency ecosystems, which include NFT marketplaces and issuers such as $Coinbase(COIN.US)$ and $PLBY Group(PLBY.US)$.
What is NFT?
NFTs, which allow holders of art, collectibles and just about any other asset to track ownership, have caught fire this year amid a wider boom in crypto markets. Investors have doled out eye-popping sums toward pictures of rocks, cartoonish depictions of penguins and apes, and other concoctions and artworks.
The NFT revolution will fundamentally change the economic model for artists, athletes, creators, and many more industries that we can't even conceive of today. "In October, all time NFT trading volume surpassed $15 Billion," says Jablonski.
What is NFTZ?
NFTZ is testament to our vision of the revolutionary potential for growth in crypto and digital asset related securities, and our commitmen to offering exposure to the dynamic and disruptive NFT space. NFTZ seeks to track an index of a portfolio of publicly listed companies with relevant thematic exposure to the NFT, blockchain and cryptocurrency ecosystems.
--- According to 'Investment case for NFTZ, the first NFT focused ETF', Defiance ETFs
[The NFTZ fund] is a great way for investors to gain access to not only the fast-growth blockchain technology aspect of the digital world, but companies involved in the renaissance of NFT. The companies in this index are key players in the build-out of Web 3.0, [or an idealized version of the internet that is decentralized and based on blockchains.]
--- said Sylvia Jablonski, chief investment officer for Defiance ETFs.
The ETF is tracking the BITA NFT and Blockchain Select Index.
NFTZ holdings
The initial makeup of the ETF consists of asset allocation of 32.5% for non-fungible token stocks, 25.9% cryptocurrency mining stocks, 21.9% crypto asset management and trading stocks, 15.2% crypto banking, payments and services stocks and 4.6% blockchain technology stocks.
Here are the top 10 initial holdings on the ETF:
· $Silvergate Capital(SI.US)$ : 6.7%
· $PLBY Group(PLBY.US)$ : 5.3%
· $Cloudflare(NET.US)$ : 5.2%
· Northern Data AG : 5.1%
· $Bitfarms(BITF.US)$ : 4.9%
· $Marathon Digital(MARA.US)$ : 4.8%
· $Hut 8(HUT.US)$ : 4.5%
· Sbi Holdings Inc : 4.3%
· $Coinbase(COIN.US)$ : 4.3%
· $Riot Platforms(RIOT.US)$ : 4.3%
Have you ever traded NFT? Would you invest in this NFT-focused ETF?
Source: Defiance ETFs, PR Newswires, Bloomberg, Benzinga