Top Blockchain ETFs

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Blockchain technology continues to gain traction across multiple industries, from finance and healthcare to logistics and technology. While cryptocurrencies like Bitcoin have experienced extreme volatility—exacerbated by events such as the collapse of FTX—investors are increasingly turning to blockchain ETFs as a more stable way to gain exposure to the underlying innovation without directly owning digital assets.

These exchange-traded funds focus on publicly traded companies that develop, invest in, or utilize blockchain technology. By investing in regulated equities rather than volatile crypto tokens, blockchain ETFs offer a diversified and less speculative entry point into this transformative sector.

👉 Discover how blockchain ETFs can diversify your portfolio with lower risk than direct crypto investments.

Key Takeaways

Although only three major blockchain ETFs are currently available in the U.S.—excluding leveraged, inverse, or underfunded funds with less than $50 million in assets under management (AUM)—they represent a growing interest in blockchain’s real-world applications beyond cryptocurrency.

All three funds have declined more sharply than the S&P 500 over the past 12 months, largely due to market sentiment linking blockchain too closely with crypto volatility. However, the fundamental use of blockchain in secure data sharing, supply chain tracking, and digital identity verification continues to expand across industries.

First Trust Indxx Innovative Transaction & Process ETF (LEGR)

LEGR tracks the Indxx Blockchain Index, which measures the performance of global companies actively involved in blockchain innovation—whether through development, investment, or application. The fund allocates at least 90% of its assets to stocks included in this index.

From a sector perspective, LEGR is heavily weighted toward financials (36%), followed by information technology and communication services. This reflects the strong interest among banks and fintech firms in leveraging blockchain for faster settlements, fraud prevention, and cross-border payments.

Top holdings include:

While LEGR has outperformed other blockchain ETFs over the past year, its relatively modest AUM suggests limited investor adoption compared to broader tech funds.

Siren Nasdaq NexGen Economy ETF (BLCN)

BLCN follows the Nasdaq Blockchain Economy Index, co-developed with Nasdaq, focusing on companies engaged in blockchain research, development, or implementation. It primarily holds large-cap stocks from developed markets and employs a blended investment strategy combining growth and value stocks.

Despite its steep decline over the past year, BLCN provides exposure to some of the most credible players in institutional blockchain adoption.

Key holdings include:

BLCN offers a compelling mix of traditional finance and emerging tech firms—but its high volatility underscores investor skepticism about near-term returns.

👉 See how major financial institutions are quietly building blockchain solutions behind the scenes.

Amplify Transformational Data Sharing ETF (BLOK)

BLOK stands out as an actively managed ETF, meaning its portfolio managers make strategic decisions rather than passively tracking an index. At least 80% of its assets are invested in companies developing or using blockchain technologies.

The fund positions itself as offering “indirect crypto exposure” through equities of firms enabling blockchain ecosystems—without holding any digital currencies.

Sector allocation is dominated by:

Top holdings include:

Despite its strong brand recognition and highest AUM among blockchain ETFs, BLOK has suffered significant drawdowns due to market-wide risk-off sentiment toward tech and innovation stocks.

Frequently Asked Questions (FAQ)

Q: What is a blockchain ETF?
A: A blockchain ETF invests in stocks of companies that develop, use, or support blockchain technology. Unlike cryptocurrency funds, these ETFs hold traditional equities and do not directly own digital assets.

Q: Are blockchain ETFs safer than buying cryptocurrency?
A: Generally yes. Blockchain ETFs are diversified across multiple regulated companies and avoid the extreme volatility associated with Bitcoin or altcoins.

Q: Do these ETFs actually hold Bitcoin or other cryptocurrencies?
A: No. All three funds—LEGR, BLCN, and BLOK—invest solely in corporate stocks. They provide exposure to blockchain innovation through equity ownership in technology and financial firms.

Q: Which industries benefit most from blockchain technology?
A: Financial services, supply chain logistics, healthcare data management, and enterprise software are among the top adopters of blockchain for secure data sharing and process automation.

Q: How do expense ratios affect my returns?
A: Higher fees reduce net gains over time. Among these funds, LEGR has the lowest expense ratio at 0.65%, making it slightly more cost-efficient than BLCN (0.68%) and BLOK (0.71%).

Q: Can I earn dividends from blockchain ETFs?
A: Yes. All three ETFs distribute dividends from their underlying stock holdings, with yields ranging from 0.61% to 1.26%.

Blockchain ETFs represent a bridge between traditional finance and next-generation technology. While short-term performance has been challenging amid macroeconomic headwinds and crypto-related stigma, long-term potential remains strong as adoption grows across critical industries.

👉 Learn how institutional investors are positioning for the next phase of digital transformation.