Two Blockchain Technology ETFs

How to invest

Two easy ways to access our Blockchain ETFs

There are two main ways to purchase Reality Shares’ exchange traded funds — by talking to your advisor or investing online. See below for more details.

The Reality Shares Nasdaq NexGen Economy China ETF (the “Fund”) seeks long-term growth by tracking the investment returns, before fees and expenses, of the Reality Shares Nasdaq Blockchain China Index (the “Index”) comprised of blockchain-related companies located in Hong Kong and mainland China.

The Reality Shares Nasdaq NexGen Economy ETF (the “Fund”) seeks long-term growth by tracking the investment returns, before fees and expenses, of the Reality Shares NASDAQ Blockchain Economy Index (the “Index”).

#1. Talk to your advisor

Talk to your advisor about adding Reality Shares ETFs to your investment account to complete your portfolio by investing in blockchain technology

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#2. Invest online

Get started and click below to use our secure online trading platform that works seamlessly with many existing online brokerage accounts

* These are ETFs and there is no guarantee that their investment goals or strategies will be successful.

Reality Shares Nasdaq NexGen Economy Blockchain ETFs

BLCN (Global)

 

Visit our Fund site to get more information on the global BLCN ETF

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BCNA (China)

Visit our Fund site to get more information on the China BCNA ETF

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2. Subject to change

How we build our ETFs

Ranking companies through our scoring algorithm

Blockchain-related companies are evaluated and ranked by the Reality Shares proprietary ranking system and then assigned a Blockchain Score™. This Blockchain Score is designed to identify those Blockchain-related companies expected to benefit most, as determined by the potential for increased economic profit, operational efficiencies, and transformational business practices.

The Blockchain Score is evaluated based on several factors, including:

  • Blockchain technology ecosystem
  • Participation in industry groups
  • Blockchain technology development
  • Innovation
  • Economic impact
  • Public references
  • Research and development

 

 

Why blockchain

A potential new framework for information

 

Blockchain technologies are quickly becoming one of the most exciting areas of interest for many investors and companies. Simply put, the blockchain technology is a shared and decentralized information ledger — a record of all activity, independently but simultaneously maintained by multiple separate third-parties. Every transaction is stored in a ‘block’ of information. This is where the Reality Shares Blockchain Score Methodology comes into play. By ranking companies through a blockchain score we can pinpoint and evaluate the highest-scoring companies among the universe of blockchain-related companies worldwide. Click Play to learn more.

The exchange-traded fund is designed to track the performance of global companies that are committing material resources seeking to transform practical business applications through the development and use of blockchain technology. By developing the ETF, Reality Shares seeks to identify leading global companies that are defining the application for blockchain technology as the first native digital medium for value, similar to those early companies that defined the Internet as the first native digital medium for information.

Learn how to add BLCN to your Portfolio

The Reality Shares Nasdaq NexGen Economy China exchange-traded fund is designed to track the performance of companies in China that are committing material resources seeking to transform practical business applications through the development and use of blockchain technology. By developing the ETF, Reality Shares seeks to identify leading global companies that are defining the application for blockchain technology as the first native digital medium for value, similar to those early companies that defined the Internet as the first native digital medium for information.

Learn how to add BLCN to your Portfolio

Principal risks for BLCN include Authorized Participant Concentration Risk, Blockchain Technology Risk, Depositary Receipt Risk, Emerging Markets Risk, Equity Risk, ETF Trading Risk, Foreign Issuer Exposure Risk, Geographic Concentration Risk, Non-Blockchain Technology Business Line Risk, Index Performance Risk, Index Tracking Error Risk, Sector Risk, Industry Concentration Risk, Market Risk, and Non-Diversification Risk. See prospectus for full description of risks.
Blockchain technology is a new and developing technology protocol developed by companies in a manner for optimizing business practices. Blockchain technology is not a product or service with an individually attributable revenue stream. Blockchain technology may never develop optimized transactional processes that lead to increased economic returns to any company in which the fund invests. There can be no assurance that blockchain technology will affect the primary lines of business in the Fund’s portfolio companies to have a positive impact on a company’s financial condition. BLCN is new and has limited trading history.

Special risks associated with investments in Chinese companies include exposure to currency fluctuations, less liquidity, less developed or less efficient trading markets, lack of comprehensive company information, political instability and differing auditing and legal standards the nature and extent of intervention by the Chinese government in the Chinese securities markets, and the potential unavailability of shares.

Looking for a deeper dive?

If you are an institutional investor, financial advisor, or registered investment advisor, you can get access to specialized materials offering deeper analysis and information on our investment products. Register below to get instant access to our exclusive materials and analysis on investing in the BLCN and BCNA ETF.

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Meet the Blockchain Index advisory board

Our advisory board now includes six original blockchain and cryptocurrency executives. The board will serve as an industry “think tank,” bringing new ideas and guidance to expand our footprint in the emerging, exciting world of blockchain technology.

Distinguished members of the Reality Shares blockchain advisory board include:

Erik Voorhees

Shapeshift AG

Garrick Hileman

University of Cambridge

Jeff Garzik

Bloq

Marco Santori

Blockchain

Matthew Roszak

Tally Capital

Steve Beauregard

GoCoin

Stay in touch with Reality Shares

Sign up to get more information on the blockchain exchange-traded fund


Carefully consider the investment objective, risks, charges and expenses before investing in Reality Shares ETFs. This and other important information can be found in the Fund’s prospectus, which may be obtained by calling 855-595-0240 or by clicking here. Please read the prospectus carefully before investing.

Investing involves risks, including possible loss of principal. Shares are not FDIC insured and may lose value. Past performance does not guarantee future results.

The DIVY Fund is actively managed and may fail to achieve its investment objective. There is no guarantee the Fund’s investment strategies will be successful. The Fund’s derivative investments in swaps, futures and forwards are subject to a number of risks, including correlation risk, market risk, counterparty credit risk and liquidity risk, which may negatively impact the Fund’s investment strategies and could cause the Fund to lose money. The Fund does not capture dividend payments or generate dividend income, and is not appropriate for investors seeking dividend income. The Fund uses a dividend isolation strategy whereby investment returns are based primarily on the change in expected dividend values reflected in the prices of the Fund’s portfolio holdings. Historical data relative to companies that have or have not paid dividends is no indication of how the Fund will perform, since investors are not directly investing in these companies.

For LEAD, DFND, GARD, BLCN, and BCNA, there is no guarantee or assurance the methodology used to create the respective Benchmark Indexes will result in the Funds achieving positive returns. The Funds may be more susceptible to a single adverse economic or other occurrence and may therefore be more volatile than a more diversified fund. Each Benchmark Index is constructed using a rules-based methodology based on quantitative models developed by Reality Shares. These quantitative models may be incomplete, flawed or based on inaccurate assumptions and, therefore, may lead to the selection of assets that produce inferior investment returns or provide exposure to greater risk of loss.

The investment portfolio for DFND includes securities sold short. The investment portfolio for GARD may include securities sold short. Securities sold short create special risks which may result in increased volatility of returns and counter-party risk. Investments in short sales may also incur dividend and borrowing expenses and may result in the Funds being less tax-efficient.

Principal risks for BLCN and BCNA include Authorized Participant Concentration Risk, Blockchain Technology Risk, Depositary Receipt Risk, Emerging Markets Risk, Equity Risk, ETF Trading Risk, Foreign Issuer Exposure Risk, Geographic Concentration Risk, Non-Blockchain Technology Business Line Risk, Index Performance Risk, Index Tracking Error Risk, Sector Risk, Industry Concentration Risk, Market Risk, and Non-Diversification Risk. See prospectus for full description of risks. BLCN and BCNA are new and has limited trading history.

Blockchain technology is a new and developing technology protocol developed by companies in a manner for optimizing business practices. Blockchain technology is not a product or service with an individually attributable revenue stream. Blockchain technology may never develop optimized transactional processes that lead to increased economic returns to any company in which the Fund invests. There can be no assurance that blockchain technology will affect the primary lines of business in Fund portfolio companies to have a positive impact on a company’s financial condition.

The principal value of debt securities typically decrease when interest rates rise. This risk is usually greater for longer-term debt securities. The Fund may also invest in foreign securities, which involve political, economic, and currency risks, greater volatility, and differences in accounting methods. Special risks associated with investments in Chinese companies include exposure to currency fluctuations, less liquidity, less developed or less efficient trading markets, lack of comprehensive company information, political instability and differing auditing and legal standards the nature and extent of intervention by the Chinese government in the Chinese securities markets, and the potential unavailability of shares. Index reconstitution may result in high portfolio turnover which may result in higher transaction costs and may result in higher taxes when the Fund shares are held in a taxable account.

The Benchmark Indices were created and are maintained through a collaboration between Reality Shares and Nasdaq, and the Funds are listed on the Nasdaq exchange.

ETF shares are not individually redeemable. Investors buy and sell shares of the Funds on a secondary market. Only market makers or ‘authorized participants’ may trade directly with the Fund, typically in blocks of 25,000 shares. Brokerage commissions will reduce returns. Market Price is based on the midpoint of the bid/ask spread at the close of the market and does not represent the returns an investor would receive if shares were traded at other times.

Reality Shares Advisors, LLC is the Investment Advisor. ALPS Distributors, Inc. is the Distributor for the Funds. ALPS Distributors, Inc. is not affiliated with Reality Shares Advisors, LLC.


Portfolio of Holdings and Fund Performance for BCNA, BLCN, LEAD, DFND, GARD, and DIVY.