The latest report reveals that China’s financial watchdog, China Securities Regulatory Commission (CSRC) received an application from the Chinese asset management fund Penghua Fund to list a blockchain exchange-traded fund (ETF) in China.
China is Reviewing ETF
Accordingly, CSRC is currently reviewing Penghua’s application dubbed ‘Penghua Shenzhen Stocks Blockchain ETF” for listing an ETF that will track blockchain-related stocks as underlying assets.
More precisely the ETF will track and present the report of Shenzhen-listed public stocks that concerned with the business working in the blockchain industry.
However, if the EFT application receives approval from the CSRC, China will soon have its first blockchain-ETF that will be opened to public investors according to a report from Shanghai Securities News.
Furthermore, Penghua has its headquarter in Shenzhen and currently has over 564 billion yuan in assets under management. Besides, it comprises of 10 national social insurance investment portfolios, 159 public funds, and 4 basic pension insurance investment portfolios.
The application received in a wake of Shenzhen Stock Exchange’s launch of the Blockchain 50 index that covers around 50 blockchain-related stocks listed on the exchange.
The index caters to several types of companies including Ping An Bank and internet firm Wholeasy. Notably, wholeasy earlier invested $80 million in bitcoin miners.
China is leading the wave of blockchain sector for quite a long, especially since the announcement of China’s yet-to-launch cryptocurrency. The hype saw a sudden spike when Chinese President Xi Jinping called for the country to seize the opportunity to adopt blockchain technology. He aims to make China the leader in the blockchain ecosystem as he thinks the technology holds great potential and is the revolution.
As for now, the Penghua Shenzhen Stocks Blockchain ETF is currently in review and it is yet to be seen if the ETF received the approval from the Chinese financial watchdog.
Stay tuned with Tron Weekly Journal to know more.!