BetaShares is an Australian provider of exchange-traded funds (ETFs). It will now let you invest in the Metaverse as it has launched the country’s first Metaverse-themed product on the Australian Securities Exchange (ASX).
According to BetaShares, this new Metaverse ETF (MTAV) would provide investors and firms a ‘convenient and cost-effective way’ with exposure to a portfolio of leading global companies that are associated with building, operating and developing the Metaverse.
Betashares Makes Bullish Move In A Bear Market
ETFs have been gaining both popularity and volume for years. This step from BetaShares will boost the finance market in Metaverse, and it is a good indication for the crypto communities’ future.
BetaShares Metaverse ETF (MTAV) currently aims to track the Bloomberg Metaverse Select Index by offering exposure to a portfolio of 32 companies that generate a meaningful amount of their revenues from activities related to the Metaverse, including Roblox, NVIDIA and Meta Platforms. BetaShares explained that the Metaverse is “the next frontier of the internet that is revolutionizing the way people, businesses and communities connect with one another”.
It is to be noted that the ETF (MTAV) also offers excellent exposure to large, profitable technology and entertainment companies, alongside specialized companies dedicated to the core technologies that will operate the Metaverse. Let’s know what the ETF will provide investors.
- It will provide the details of 3D modeling design.
- It will provide details of designers and manufacturers of virtual and augmented reality hardware.
- It will offer details of companies’ artificial intelligence services.
- It will provide a portfolio of companies that sell advertising in the Metaverse and are involved in digital assets and currencies in the Metaverse.
BetaShares said, “The Metaverse economy sits at the intersection of virtual and augmented reality, gaming, artificial intelligence, advertising, as well as digital currencies and tokens”. It also said, “As the Metaverse evolves, consumers are expected to spend more and more time in virtual worlds, and businesses will increasingly have to establish and maintain a 3D, digital presence inside these worlds.”
BetaShares CEO Alex Vynokur explained that this fund would provide exposure to ‘megatrends’. Elaborating on it, he said, “While still in the early stages of evolution, the Metaverse has the potential to be one of the biggest secular growth trends of the coming decades. This innovative new fund will form part of our leading suite of thematic funds that offer investors exposure to the megatrends that are changing the world around us.”
The BetaShares Metaverse ETF charges a management fee of 0.69% per annum or $69 per year for every $10,000 invested.
A Revolution In The Metaverse
In 2021, the global Metaverse market’s worth was near $40 billion. However, it is recently reported that the global Metaverse market is ready to be worth around $1,607.12 billion by 2030, boosting its growth at a CAGR of 50.74% from 2022 to 2030.
BetaShares joins the race with other ETF providers, including ProShares and Global X, as it aims to maximize the potential growth of virtual worlds with an estimated $800 billion in annual revenue by 2024. BetaShares’ move into the Metaverse comes after Australia listed its first spot Bitcoin and ether ETFs back in May by provider 21Shares. However, to the dismay of market players, the US has not listed its spot Bitcoin ETF.
BetaShares CEO Mr Alex Vynokur said, “While still in the early stages of evolution, the Metaverse has the potential to be one of the biggest secular growth trends of the coming decades.” He added, “As the range of technologies underpinning the Metaverse evolves and user growth continues, this secular trend is expected to revolutionize the way we engage with sport, live music and other ways of staying connected.”
Meta, formerly known as Facebook, reported a second-quarter loss of $2.8 billion through the social media giant’s Metaverse division Reality Labs. Still, CEO Mark Zuckerberg remains bullish on the long-term prospects for Metaverse gaming and endeavors. Despite the crypto winter, BetaShares remained bullish on its project, and it expects a promising future ahead in the Metaverse sector.