New York-based Defiance ETFs is launching an exchange-traded fund (ETF) focused on non-fungible tokens (NFTs), according to a press release sent to CoinDesk.
- The fund will track the performance of an index, dubbed the BITA NFT and Blockchain Select Index, composed of NFT, blockchain and crypto stocks, including NFT marketplaces and issuers such as Coinbase and Playboy.
- The index will be rebalanced on a quarterly basis, Defiance said.
- Crypto-pegged ETFs have grown significantly in the past year; the first U.S. bitcoin futures fund was listed on the New York Stock Exchange in October.
- Defiance is an ETF sponsor and investment adviser with a focus on thematic investing, according to its website.
- Silvergate, the crypto-friendly bank that serves a number of firms in the industry, is the top stock in the ETF with a 6.74% weighting, followed by Playboy, Cloudflare and a handful of crypto mining firms.