The investment arm of Samsung Group reportedly intends to list a blockchain-based exchange-traded fund (ETF) on the Hong Kong Stock Exchange in the first half of this year. The ETF will have a structure similar to BLOK, one of Amplify Holdings’ ETF products.
Samsung Asset Management’s stake in Amplify Holdings
Samsung Asset Management Company (SAMC) plans to list a blockchain fund (ETF) on the Hong Kong Stock Exchange in the first half of 2022, parent company Samsung Group said. The ETF listing, which tracks cryptocurrency and blockchain companies, will be a first for Asia, according to the report .
The ETF listing is expected to occur in the first half of 2022 a few weeks after SAMC reportedly acquired a 20% stake in Amplify Holding Company, the ETF’s U.S. sponsor. As part of the agreement to acquire Amplify Holding for $30 million, Samsung Group’s investment arm will have exclusive rights to provide Amplify products in Asia.
The U.S. ETF sponsor, which is known for its ETF products such as BLOK, or Amplify Transformational Data Sharing ETF, is expected to invest “at least 80% of its net assets in equity securities of blockchain companies.” According to the report, the asset manager’s ETF will have a structure identical to BLOK.
There are no plans to float on the Korean stock market
Among the blockchain companies that Amplify Holding has invested in are Silvergate Capital, graphics processor (GPU) maker Nvidia, Galaxy Digital Holdings and Coinbase.
According to a report by The Korea Economic Daily, the management company plans to issue an ETF under its own name. The report also reported that SAMC may not be floating ETFs in the South Korean stock market anytime soon due to the country’s cryptocurrency regulations.
The report does say, however, that the asset manager is considering listing some of Amplify’s other ETFs in Korean and foreign markets.
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