Coin Capital Investment Management Inc. (Coincapital), the portfolio management division of the Coinsquare digital asset trading platform, has listed a blockchain exchange traded fund (ETF), the STOXX Blockchain Patents Innovation Index Fund (LDGR), among two new ETFs the company on the Toronto Stock Exchange.
Coincapital, which is registered with the Ontario Securities Commission, has become Canada’s newest ETF provider following the introduction of the LDGR and the STOXX B.R.AI.N. Index Fund (THNK), the company’s first ETFs.
The LDGR and THNK ETFs were scheduled to commence trading on the Toronto Stock Exchange this morning.
LDGR, Coincapital’s first ETF, invests in global equity securities of companies that are investing in blockchain technologies. Coincapital uses a proprietary artificial intelligence (AI) algorithm to identify companies for the fund.
The selection is based primarily on blockchain intellectual property patent filings, which enables the fund to identify blockchain adopters and innovators. The selections also make use of the iSTOXX Yewno Developed Markets Blockchain Index.
THNK, the second ETF, invests in equity securities of companies focused on AI, nanotechnology, robotics and biotechnology. The main consideration is the company must generate half of its revenues from the aggregate of the B.R.A.I.N sectors. The fund also makes use of the iSTOXX Developed Markets B.R.A.I.N Index.
“Canadians know technologies like artificial intelligence and the blockchain are going to change the way we live and work, but it can be difficult to access high quality investments in these sectors without deep domain expertise,” Lewis Bateman, Coincapital CEO, said in a prepared statement.
He added, “We’re doing the work for investors, using our in-depth industry knowledge to provide Canadians with an innovative suite of investment options that help them invest in new technology even if they’re not an expert.”
The LDGR is not the first blockchain ETF to be listed in Canada.
Horizons ETFs Management Canada Inc introduced the Horizons Blockchain Technology and Hardware Index ETF earlier this year. The ETF backs companies such as Hive Blockchain Technologies Ltd, Nvidia Corp, Digital Realty Trust Inc. which develop blockchain hardware and services.