ProShares seeks SEC clearance to create a Metaverse exchange-traded fund

The ProShares Metaverse ETF will follow the Solactive Metaverse Theme Index, which comprises well-known technology companies such as Apple and Nvidia.

ProShares, the first US-based business to create a Bitcoin exchange-traded fund, is now looking into the Metaverse, with the intention of launching an exclusive Metaverse ETF.

ProShares filed a registration statement with the US Securities and Exchange Commission (SEC) on Tuesday seeking clearance to create a ProShares Metaverse Theme ETF. The ETF would follow the Solactive Metaverse Theme Index, which comprises enterprises linked with metaverse technology.

Additionally, the filing included information on the Solactive Metaverse Theme Index (SOMETAV), which ProShares hopes to track if it obtains SEC clearance. The SOMETAV index includes businesses and organisations that use or implement Metaverse technology in the form of data processing or metaverse devices.

ProShares noted that the index is comprised of US firms that are listed on the New York Stock Exchange or Nasdaq and fulfil strict market capitalization and liquidity standards. Additionally, the index contains well-known companies like as Apple, Meta, Microsoft, Intel, and Nvidia.

Once authorised, it will enable ProShares to benchmark and follow the performance of the Solactive Metaverse Theme Index, which includes firms actively engaged in the adoption and use of metaverse-related technologies.

The expanding popularity of the Metaverse ProShares’ plan to introduce a Metaverse ETF coincides with the concept’s rising popularity, which has drawn a massive inflow of capital over the last several months. Two Canadian firms, Evolve Funds and Horizons ETF management, have began trading their Metaverse ETFs on the Toronto Stock Exchange, demonstrating the concept’s continuing growth.

In general, the Metaverse notion refers to a universe of virtual interactions. It is best described as an ecosystem that hosts a variety of digital functionalities, including immersive gaming experiences, trading of NFTs and digital collectibles, and the ability for users to conduct or attend special events and activities using their digital avatars via virtual and augmented reality devices.

According to a research by cryptocurrency firm Grayscale, the metaverse represents a potential $1 trillion industry and represents a “great opportunity” for crypto businesses trying to establish a foothold in this area.

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