In 2023, amidst anticipation for a potential blockchain ETF in the U.S., certain crypto-focused ETFs have already demonstrated impressive performance.
The VanEck Digital Transformation ETF (DAPP) leads this surge with an astonishing 207% growth YTD, as per TradingView data. Launched in April 2021, DAPP aligns with the MVIS Global Digital Assets Equity Index, reflecting the achievements of key players in the digital assets sphere.
Significantly, DAPP’s portfolio includes Coinbase (COIN), MicroStrategy (MSTR), and Block (SQ), with Coinbase and MicroStrategy’s shares skyrocketing by 312% and 302% YTD, respectively.
DAPP presently outperforms other ETFs in 2023, like Global X ETF (BKCH) and Bitwise Crypto Industry Innovators ETF (BITQ), as reported by VettaFi. BKCH has soared nearly 203% YTD, while BITQ has achieved a close to 192% return this year.
Additionally, Global X Blockchain & Bitcoin Strategy ETF (BITS) and the iShares Blockchain and Tech ETF (IBLC) have both witnessed over 184% increases in their YTD values.
Despite these gains, some ETFs, such as VanEck Digital Transformation ETF, are still significantly below their peak levels. For instance, VanEck’s ETF is down about 77% from its November 2021 peak. Conversely, the iShares Blockchain and Tech ETF has been reaching new heights, surpassing its previous high in November 2023.
Companies like VanEck, Bitwise, and Global X, successful in the blockchain ETF sector in 2023, are also exploring the launch of a spot Bitcoin ETF. This type of ETF would offer direct Bitcoin exposure, unlike the blockchain-themed ones like DAPP and BKCH.
VanEck has recently submitted a fifth revised application for a spot Bitcoin ETF, with expectations from Bitwise for its approval in 2024, predicting it to be a historic launch.
