Home Broker News If You are a Blockchain Fan, Put this ETF on Your Radar

If You are a Blockchain Fan, Put this ETF on Your Radar


The NASDAQ 100 has currently hit a new peak, boasting 43.6% over the past 12 months. To compare, the S&P 500 and the Dow Jones Industrial Average are up around 6.4% and 16.4%, respectively.

The bull traders believe that tech stocks will keep rallying throughout 2021, with this being said, many investors are not sure whether the tech sector will keep on trading at such unbelievable heights. As we could see, the digitalization trends of 2020 have proven that this sphere has an enormous growth potential. Thus, major experts and market analysts agree that high valuation levels could be justified.

Although we can’t precisely predict how the following month or the whole year will turn out for the tech behemoths of Wall Street, some pullbacks or even a more serious correction might always take place. With this being said, analysts are sure the tech sector will expand with rocket speed in this decade.

Given all the facts mentioned above, here is a solid exchange-traded fund(ETFs) that might attract a wide range of traders and investors.

Amplify Transformational Data ETF

  • Price: $54.48
  • 52 Week Range: $13.04 – $54.75
  • Dividend Yield: 1.21%
  • Expense Ratio: 0.70% per year

The Amplify Transformational Data Sharing ETF (NYSE:BLOK) provides access to businesses that develop or are based on the blockchain technologies. Since its establishment back in January 2018, net assets have boosted more than $1 billion.

When we talk about blockchain, the majority of traders think of crypto assets such as Bitcoin, EthereumDogecoin or Bitcoin Cash that are always in the headlines. These cryptocurrencies are based on blockchain technology, which has a wide range of applications beyond the digital currency asset class.

Adaptation of blockchain technologies in a wide range of spheres, including banking, digital infrastructure, cloud computing, insurance, entertainment, health care, real estate and more, is expanding. Thus, “Worldwide spending on blockchain solutions is expected to grow from 1.5 billion in 2018 to an estimated 15.9 billion by 2023.”

BLOK has 54 holdings and is an actively-managed fund. Its top industries include Software & Services (41.3%), Diversified Financials (17.0%), Media & Entertainment (11.3%), Retailing (8.6%) and Banks (6.0%). The top ten holdings comprise over 40% of assets. The companies in the fund mainly come from North America (56.8%) and Asia-Pacific (36.8%).

BLOK has boosted over 171% during the past year. Like BOTZ, BLOK also hit an all-time high on Feb. 12th. Traders who wish to invest in businesses that are based on blockchain technology without the daily volatility typical for crypto assets should definitely consider the BLOCK fund. 



Please enter your comment!
Please enter your name here