New ProShares Metaverse ETF ready to track Apple, Meta, Nvidia
The first ever company in the United States that launched a Bitcoin exchange-traded fund (ETF), ProShares, has now shown its deeper diving into metaverse with its new plans to launch a new metaverse-focused ETF.
ProShares filed for ETF focused on metaverse with the US Securities and Exchange Commission (SEC) on December 28, calling it the ProShares Metaverse Theme ETF.
Currently subject to approval by the SEC, the proposed ETF will be tracking the performance of the Solactive Metaverse Theme Index (SOMETAV), which consists of firms providing or using metaverse-related technologies. It also includes data processing and metaverse devices, as per the ETF prospectus.
PropShares shared that the index includes all American companies that are listed on the New York Stock Exchange or The Nasdaq Stock Market, that meet certain market capitalization and liquidity requirements. Electronics giants such as Apple and Nvidia and social media platforms like Meta Platforms (formerly Facebook) are reportedly among the index’s top components.
ProShares’ metaverse ETF filing comes as global companies venture increasingly into the metaverse and nonfungible tokens (NFT) industry.
On November 29, two Canadian companies named Evolve Funds Group and Horizons ETFs Management, had made their start in trading their metaverse ETFs on the Toronto Stock Exchange. Similar to the ProShares Metaverse Theme ETF, the Horizons Global Metaverse Index ETF will be tracking SOMETAV.
Metaverse has been emerging as one of the biggest technology trends in the year 2021, becoming more pronounced since Facebook officially announced its metaverse strategy by rebranding its product to Meta in October 2021.
The concept of the Metaverse is like an online virtual environment featuring a broad range of functions – comprising communicating, trading digital collectibles and NFTs, gaming, attending events and others – facilitated through a common device or virtual and augmented reality headsets.
According to a recent study by Reports and Data, the global metaverse market had been worth $48 billion in 2020. As per analysts, the figure is excpected to reach $872 billion by the year 2028, with revenue at the compound annual growth rate of 44 percent.