Best blockchain ETFs to buy in 2022

You can invest in blockchain technology through an ETF that owns stocks in lots of different companies. Here our experts pick the best blockchain ETFs to own this year and explain how to get hold of them.
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Updated: Sep 22, 2022
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Blockchain technology is one of the fastest growing sectors on the stock market. With so many new companies springing up all the time, it can be hard to know where to put your money. This guide cuts through the noise to tell you how to invest in ETFs that give you the best chance of success.

What are the top blockchain ETFs to buy?

Investing with an ETF means you don’t have to make the tough decisions about which stocks to own; the ETF handles all of this for you. Our experts have picked out the best blockchain ETFs to buy this year and you can find them in the table below. Read on to learn more about why each one was chosen.

#ETF symbolETF nameWhere to Trade
1BLOKAmplify Transformational Data Sharing ETF
2BLCNSiren Nasdaq NexGen Economy ETF
3LEGRFirst Trust Indxx Innovative Transaction & Process ETF
4BCHSInvesco Elwood Global Blockchain UCITS ETF
5DAPPVanEck Digital Transformation ETF
List selected by our team of analysts, updated September 2022

1. Amplify Transformational Data Sharing ETF (NYSEARCA: BLOK)

The Amplify ETF is the largest blockchain ETF available right now. It owns stocks in companies that are involved in cryptocurrency or that use blockchain technology. The ETF is actively managed, which means there’s someone in the middle making decisions over which stocks to buy and sell.

That can be good news for an ETF in this industry, because things move fast and a manager can react quickly to new developments. Current management has decided to put most of the fund’s money into companies that either provide software, or are involved in mining cryptocurrency.

Some of its largest holdings include Square, PayPal, and Coinbase, along with mining companies like Hut 8 Mining. It means the ETF can benefit from rising cryptocurrency prices but also has enough money in more diverse, stable companies to offer one of the best options for investors interested in blockchain technology.

2. Siren Nasdaq NexGen Economy ETF (NASDAQ: BLCN)

This Siren ETF invests in companies that help develop innovative blockchain technology by tracking the Nasdaq Blockchain Index. That index includes any company that commits substantial resources to creating this new technology.

What that means for the fund is that it owns quite a wide range of companies. It even holds the likes of JP Morgan and Alibaba, which means it’s likely to be more stable than a dedicated blockchain fund.

Another factor that plays into this is that its largest holding is worth just 3% of the overall fund total. That means it’s not reliant on any one company for success and gives you a well balanced overview of the industry. It does, of course, hold companies that are more naturally associated with blockchain tech. Silvergate Bank and, again, PayPal, represent two of its larger holdings.

3. First Trust Indxx Innovative Transaction & Process ETF (NASDAQ: LEGR)

The First Trust Indxx fund is another ETF that offers a low-risk way to invest in the success of blockchain technology. Like the Siren fund, it can own stock in any company that would benefit from the growth of the blockchain industry, and it casts a wide net to include as many businesses as possible.

No company makes up more than 2% of the total money invested in the fund. ETFs with weightings like that are usually stable and much less likely to be impacted by the success or failure of one company within it. That can work both ways, obviously, but in general it’s a good idea to put your money in low-risk ETFs.

To give you an idea of the range of companies in the fund; it owns stocks in as diverse industries as semiconductor manufacturing (AMD, Intel, Nvidia), banking and finance (lots of banks, as well as PayPal and Mastercard), and vehicle manufacturing (Tesla).

4. Invesco Elwood Global Blockchain UCITS ETF (LON: BCHN)

The Invesco ETF is much more focused on the blockchain industry than the previous two. It owns companies in developed and emerging markets that are involved (or could be involved) in blockchain technology. In practice, that means the majority of its holdings are based in the US, Canada, or Japan.

Its holdings are more heavily weighted towards fewer companies than the previous two as well. The top holding, Hive Blockchain, makes up about 5% of the fund. Hive, and the second largest holding, Bitfarms, are both involved in mining cryptocurrency, which again shows how much more specialised this ETF is.

The fund is rebalanced (it reorganises how much of each stock it owns) every quarter, which means it can keep up to date with the changing face of the industry. That’s helped it to achieve some spectacular success since it was first set up in the summer of 2020.

5. VanEck Digital Transformation ETF (NASDAQ: DAPP)

The final fund on this list is another that focuses almost exclusively on the cryptocurrency industry. It makes ‘pure’ blockchain plays, which means the companies it owns stocks in have to be at the forefront of driving the technology forward.

This is also a different fund in the sense that its top stocks have a large impact on how it performs. Its top five holdings, Silvergate, Coinbase, Marathon, Square, and MicroStrategy, combine for more than 40% of the assets it holds. How they perform is likely to dictate how well the fund does.

What those companies also show is how focused on cryptocurrency the VanEck fund is. Between them they spend a lot of money on either developing technology, or investing in companies that provide the innovation. It’s likely to be the most volatile ETF on the list but it’s certainly one of the most direct ways to invest in the future of blockchain tech.

Where to buy the best blockchain ETFs

To buy an ETF you need to sign up for an account with an online broker. The platforms below represent the best beginner-friendly brokers that you can get started with straight away. Follow the links in the table to sign up in just a few minutes.

1
Min. Deposit
$ 10
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User Score
10
Up to $240 bonus!
Deposit with ACA, Wire, Pay with my bank
Invest for dividends and get payout on stocks on Ex-Dividend day
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Payment Methods:
Bank Transfer, Wire Transfer
Full Regulations:
CySEC, FCA
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2
Min. Deposit
$ 100
Promotion
User Score
10
Trade out-of-hours on over 70+ US stocks
Get exposure to a wide range of popular UK, US and international stocks
Enjoy flexible access to more than 17,000 global markets, with reliable execution
Start Trading
Payment Methods:
Bank Transfer, Credit Card, Debit Card, PayPal
Full Regulations:
ASIC, FCA, FINMA, is a licensed bank (IG Bank in Switzerland)
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
3
Min. Deposit
$ 0
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9.5
$0 commission and $0 Options contract fees
Upgraded research with advanced charts
Smart Menus for faster trades
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Payment Methods:
Full Regulations:

What is a blockchain ETF?

An ETF is a fund that trades on the stock market, so you can buy or sell shares in it at any time. The value of the ETF fluctuates based on the performance of the assets it holds, and these assets can be anything; stocks, commodities, or even cryptocurrencies.

The main defining feature of an ETF is that all the assets it owns are based on a single, guiding principle. Some ETFs track the performance of leading indices, such as the S&P 500, by owning all the stocks within it. Others track the performance of a particular sector or industry by owning blockchain stocks in companies who take part in that industry.

All of which leads us onto blockchain ETFs. The companies these ETFs hold are all involved in the industry in some way. They might build apps or other software on blockchain technology, they could be involved in cryptocurrency, or they might simply own cryptocurrencies themselves. That beind said, you may also be interested in cryptocurrency ETFs to technology ETFs.

Are blockchain ETFs a good investment?

ETFs in general are ideal investments for beginners. They’re easy to use and the fact they own a range of assets makes them safer than owning stock in a single company. However, blockchain and cryptocurrency are industries that are new, notoriously volatile, and difficult to predict.

That means that the price of these ETFs are likely to fluctuate much more than you would normally expect from this type of fund. It doesn’t make them a bad investment, but it’s a fast-moving industry where government regulation could play a role in the future. While you can ‘set and forget’ your money in most ETFs, in this case you should be prepared to watch it more closely.

Use the latest blockchain news links in the table below to keep tabs on any developments that might affect the value of your investment. If you’re ready to go ahead and get one of the ETFs on this page, then you just need to find a broker to get started.

Latest blockchain news

Oraichain Labs US (OLUS), a new financial technology startup looking to streamline access to capital markets via blockchain technology, has officially launched. The fintech company, which announced its entry into the United States market on Wednesday, said in a press release shared with Invezz that…
Maincard, a Web3-focused fantasy sports platform set to revolutionise fan engagement and experience across major sports, has announced the Alpha version of its testnet will go live on 20 September, 2022. According to the platform, the testnet that’ll be live for 24 hours offers a chance for users to…
Blockchain.com, one of the pioneer crypto platforms to launch a crypto exchange and wallet, has today listed TRON (TRX). With the listing, TRON’s native token is now available to Blockchain.com Wallet and Blockchain.com Exchange users – where customers can accomplish various transactional activities that include send, receive, buy…
In one major blockchain news this Monday, we report on Fireblocks, a fast-growing company whose technological platform offers tools and other innovative products for managing, storing and transferring cryptocurrencies. Basically, the company has announced that its annual recurring revenue (ARR) for 2022 had once again…
Euler Finance is adding to the list of DeFi protocols getting ready for the world’s largest smart contracts network’s switch from proof-of-work (PoW) consensus mechanism to proof-of-stake (PoS) consensus, by integrating the tested and highly secure Chainlink Price Feeds on the Ethereum mainnet. This…
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James Knight
Editor of Education
James is a lead content editor for Invezz. He's an avid trader and golfer, who spends an inordinate amount of time watching Leicester City and the… read more.