ETFs
Roundhill Ball Metaverse ETF (METV) Launches Investments in Ether and Bitcoin
METV is the first U.S.-listed ETF to make a substantial investment in Ether*, the digital asset underlying Ethereum, a protocol critical to the development of the Metaverse.
NEW YORK, June 24, 2024 /PRNewswire/ — Following the quarterly rebalancing of the Ball Metaverse Index, the Roundhill Ball Metaverse ETF (METV) has initiated positions in ether* and bitcoin*. METV currently holds a 6.8% position in ether* and a 2.0% position in bitcoin*, expressed through the CI Galaxy Ethereum ETF and the CI Galaxy Bitcoin ETF, respectively.
The fund’s investment of approximately $27 million in ether* is the largest ever for a U.S.-listed ETF.
“The proliferation of cryptocurrencies and protocols is an important (and for many, critical) driver behind the emergence of the Metaverse,” said Matthew Ball, founder of Ball Metaverse Research Partners. “Designed by our expert board of alumni from global leaders in cloud services, virtual reality, digital distribution and blockchain, the pioneering and proprietary methodology of the Ball Metaverse Index ensures representative exposure to this theme of several billion dollars. Reflecting the growing importance and adoption of crypto indicated by this methodology, we will now add both Ether and Bitcoin to the index.
“Growing adoption and support for crypto will further accelerate the emergence of the metaverse. Property rights support successful economies. Blockchains are a digital property rights system for the Internet – an infrastructure that enables a rich metaverse economy, ripe for countless new developers, businesses and creators, while giving users true ownership over money, identity, data, digital assets and more,” said Jesse Walden, co-founder and general partner of Variant Fund, and co-founder of Ball Metaverse Research Partners and member of its expert board.
According to Ball Metaverse Research Partners, we have been engaged in an unstoppable decades-long trend where more time and money are being spent on an ever-increasing number of virtual experiences. As these technologies continue to improve, their capabilities gain scope and relevance. Game engines now power autonomous vehicles and factory operations. AI-based digital twins are used to predict wildfires. Augmented headsets already enable hundreds of remote surgeries per year. The mirror worlds of the Metaverse continue to grow in appeal and impact.
*The Fund does not invest directly in ether or bitcoin. The Fund gains exposure to ether and bitcoin through publicly traded exchange-traded products.
About Roundhill Investments
Founded in 2018, Roundhill Investments is an SEC-registered investment advisor focused on innovative exchange-traded funds. Roundhill’s range of ETFs offers unique and differentiated exposures to thematic equities, options income and trading vehicles. Roundhill offers extensive ETF knowledge and experience, as the team has collectively launched over 100+ ETFs, including several first-to-market products.
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus or summary prospectus containing this and other information about the METV ETF, please call 1-855-561-5728 or visit the website at https://www.roundhillinvestments.com/etf/METV. Read the prospectus or summary prospectus carefully before investing.
Investing involves risks, including possible loss of capital. Metaverse companies and other businesses that rely heavily on technology are particularly vulnerable to research and development costs, significant capital requirements, product and service obsolescence, government regulation, and domestic and international competition, including including competition from foreign competitors whose production costs are lower. The shares of these companies, particularly those of smaller, less experienced companies, may be more volatile than the overall market. Metaverse companies may face dramatic and unpredictable changes in growth rates. Metaverse companies may be targets of hacking and theft of proprietary or consumer information or service disruptions, which could have a material adverse effect on their businesses. The Fund’s investments will be concentrated in one sector or group of sectors, and the value of the Fund’s shares may rise and fall more than those of more diversified funds. Foreign investment involves social and political instability, market illiquidity, exchange rate fluctuations, high volatility and limited regulatory risks. Emerging markets carry different and greater risks because they are smaller, less liquid and more volatile than more developed countries. Depository receipts involve risks similar to those associated with investments in foreign securities, but may not provide a return that precisely matches that of the underlying shares. Please see the prospectus for further details on these and other risks.
As an ETF, the fund may trade at a premium or discount to net asset value. Shares of any ETF are bought and sold at market price (not net asset value) and are not redeemed individually from the Fund. Due to the costs of purchasing or selling Shares, including brokerage commissions charged by dealers and bid-ask spreads, frequent trading of Shares may materially reduce investment results and an investment. in Shares may not be advisable for investors who plan to make small investments on a regular basis. The Fund may invest in securities issued in initial public offerings. The market value of IPO shares will fluctuate significantly due to factors such as lack of a prior public market, irregular trading, small number of shares available for trading and limited information about the issuer. Purchasing IPO stocks can result in high transaction costs. IPO shares are subject to market risk and liquidity risk. The Fund is a recently established investment company with no operating history. The Fund invests in SPAC equity securities, which leverage assets to pursue potential acquisition opportunities. Unless and until an acquisition is completed, a SPAC generally invests its assets in U.S. government securities, money market securities, and cash. Because SPACs have no operating history or ongoing activities other than seeking acquisitions, the value of their securities is particularly dependent on the ability of the entity’s management to identify and make a profitable acquisition. There can be no assurance that the SPACs in which the Fund invests will complete an acquisition or that any acquisition completed will be profitable. Public shareholders of SPACs may not have the opportunity to vote on a proposed initial business combination because certain shareholders, including shareholders affiliated with the management of the SPAC, may have sufficient voting power and a financial incentive to approve such a transaction without the support of public shareholders. Accordingly, a SPAC may complete a business combination even if the majority of its public shareholders do not support such a combination. Some SPACs may make acquisitions only in certain sectors or regions, which may increase the volatility of their prices.
Foreside Fund Services, LLC: Distributor.
Glossary
Ball Metaverse Index (BALLMETA Index): The Ball Metaverse Index is designed to track one of the most important and valuable socio-economic technological transformations of the coming decades: the Metaverse. The index is managed by a board of experts that maps and weights thousands of public companies into seven categories enabling Metaverse technologies and companies, each weighted by its projected share of Metaverse-related revenue. The Roundhill Ball Metaverse ETF (METV) seeks to track the performance of the Ball Metaverse Index.
SOURCE Roundhill Investments