Fidelity Investment Seeks SECs Approval for ETFs Tied To the Metaverse

Earlier today, Fidelity Investments reportedly filed paperwork for ETFs connected to the Metaverse with the SEC. The report stated that the ETFs track public companies developing their Metaverse and similar products.

Fidelity Files for Metaverse ETFs with the SEC

Fidelity Investments has applied for a metaverse ETF with the US SEC to track public companies involved in the Metaverse. The report follows a similar application by several companies, including ProShares, who filed for it last month.

The proposed ETF will also track public companies that raise at least half of their revenue from technology products. It will encompass companies trading hardware parts, gaming products, wearable technology, and other categories.

The asset will not invest directly in any cryptocurrency project, whether existing or new. However, it will function like an internal index composed of organizations like crypto mining firms and support firms. It will also track blockchain and crypto payments companies.

The company has applied for two ETFs to perform these duties. The duo will be under the management of Geode Capital Management. However, the company did not offer further details regarding the fees charged by their partner.

Rate of Crypto And Crypto Products Adoption Increases

Blockchain and cryptocurrency are the main trends in the fintech industry currently. After a decade of cryptocurrency’s existence and ‘success,’ it’s time for the world to figure out how to adopt this technology. Many countries are drafting regulatory frameworks to guide their citizens and companies using these assets.

Last year, countries like the US, Russia, China, India, El Salvador, UAE, and others revealed that they were assessing the legality of these assets. Some, like China, banned the use of cryptocurrency, while others revealed that they would allow for the use of the assets. El Salvador shook the world by investing in BTC and making it their legal tender. Crypto products like ETFs and Futures also cropped up last year.

The US SEC allowed American citizens to trade these assets and officially list them. However, it rejected some since the regulators say that citizens must be safe from the high price fluctuation rates of cryptos. Fidelity Investment also applied for a BTC ETF to operate in Canada and America. However, the US SEC did not approve this asset.

Institutional adoption of cryptocurrency and NFTs have also been notable in the last few months. Big companies like Meta, Nike, Mercedes, Lamborghini, Walmart, Tesla either launched NFTs or announced plans to accept crypto payments.