Blockchain ETFs are exchange-traded funds that hold companies that are involved with developing or innovating using blockchain technology, rather than simply holding Bitcoin. Thousands of cryptocurrencies have popped up in recent years to capitalize on the market's curiosity, but they can be very risky investments, often without clear uses.
That's why blockchain ETFs make a lot of sense for the crypto-curious. Buying an exchange-traded fund (ETF) composed of these companies could be a great place to start investing in this technology without anywhere near the risk of cryptocurrency.
Investing in blockchain ETFs in 2026
A blockchain is a digital ledger (basically software) that is distributed across a network of users. It's the basic building unit of cryptocurrencies, but it has a wide range of uses, such as building decentralized finance (DeFi) services, enabling smart contracts, and giving artists new ways to create work and interact with patrons.
With so many uses for blockchain technology, there are plenty of companies putting it to good use. That's why an ETF that specializes in blockchain and crypto companies is a great place to get started when investing in the future of the financial services sector.
ETF | Total Net Assets | Expense Ratio | Description |
|---|---|---|---|
Amplify Transformational Data Sharing ETF (NYSEMKT:BLOK) | $1.23 billion | 0.73% | The largest blockchain ETF by net assets. |
Siren Nasdaq NexGen Economy ETF (NASDAQ:BLCN) | $36.17 million | 0.68% | This ETF is focused on tracking the Nasdaq Blockchain Economy index. |
First Trust Indxx Innovative Transaction & Process ETF (NASDAQ:LEGR) | $130.07 million | 0.65% | This ETF has a portfolio of more than 100 stocks with exposure to blockchain technology. |
Bitwise Crypto Industry Innovators ETF (NYSEMKT:BITQ) | $354.58 million | 0.85% | Launched in 2021, this is a focused portfolio of crypto and Bitcoin (CRYPTO:BTC) stocks. |
Global X Blockchain ETF (NASDAQ:BKCH) | $298.06 million | 0.50% | Another newcomer in the blockchain ETF space. |
1. Amplify Transformational Data Sharing ETF
NYSEMKT: BLOK
Key Data Points
Far and away the largest blockchain ETF based on assets, Amplify Transformational Data Sharing ETF (BLOK -2.83%) is a good choice to begin your search for the best blockchain and crypto industry ETFs. The fund has a 0.73% expense ratio, so for a $1,000 investment, $7.30 will be deducted each year in fees from the fund's performance.
The Amplify Transformational Data Sharing ETF launched in January 2018 and had increased in value by 200.47% through late January 2026, although it saw a spike in pricing in 2020 when high-growth tech stocks rose early in the COVID-19 pandemic. That gain has since moderated significantly.
Notable holdings in the fund include stock trading platform Robinhood (HOOD -3.26%); crypto trading marketplace Coinbase Global (COIN -4.38%); and payment processor PayPal (PYPL -20.11%).
2. Siren Nasdaq NexGen Economy ETF
NASDAQ: BLCN
Key Data Points
The Siren Nasdaq NexGen Economy ETF (BLCN -1.60%) is far smaller than Amplify's blockchain ETF product, but it offers investors a slightly different take on this space. It is composed of stocks focused more on technology businesses and reduces exposure to some of the cryptocurrency holding companies found in other similar ETFs. It has an expense ratio of 0.68%.
The ETF was also launched in January 2018 and has seen prices skyrocket more than 70% since inception during a bull run from mid-2020 through 2021. It was sitting just 4.13% above its initial public offering (IPO) price in January 2026. Top holdings include Kinaxis (OTC:XSCF) and Celestica (CLS +3.98%), as well as older, well-known tech giants such as Microsoft (MSFT -2.86%) and Micron Technology (MICR +0.00%).
3. First Trust Indxx Innovative Transaction & Process ETF
NASDAQ: LEGR
Key Data Points
How blockchain ETFs work
Blockchain ETFs are typically exchange-traded funds built out of picks and shovels plays in the space. So, instead of investing directly in Bitcoin, for example, the fund will invest in Bitcoin miners, crypto exchanges like Coinbase, and even semiconductor manufacturers and companies innovating using blockchain technology.
They can either track a blockchain-specific index, automatically rebalancing to stay in step with that index, or can be actively managed. Usually, actively managed ETFs cost a little more because they're touched more often, which requires more labor and thought from human stock pickers.
Why invest in blockchain ETFs
Blockchains are full of potential for a range of applications, which is what is so exciting about them, but they're also more volatile than other types of ETFs in many cases. Here are some reasons to choose them anyway:
- Getting in on the ground floor of emerging technology.
- Investing in the world of cryptocurrency without as much risk.
- Potential for impressive gains, if you can handle some uncertainty.
Risks of investing in blockchain ETFs
Although investing in blockchain ETFs can give you exposure to up-and-coming tech companies, those small players can also create a lot of risk of their own. Blockchain ETFs are far from guaranteed success stories. Some major risks include:
- Volatility. Although blockchain stocks aren't the same as cryptocurrencies, they're still in an industry that is new and in flux. There's a lot of volatility right now, and it's impossible to know who will come out on top. ETFs that hold large-cap stocks along with tiny players are the safest bets.
- Regulatory uncertainty. The world of crypto is undergoing a lot of scrutiny right now, and a lot of potential regulation is around the corner. For some, this will be a fantastic thing, and for others, it could risk destroying the entire company. The uncertainty makes it hard to know what next year looks like for these stocks.
- Industry risk. Blockchain technology is filled with promise, but it's not a well-established industry as of yet. This means that the industry itself is on shaky footing, and the risk to it can be severe. Many companies won't make it, and the industry may collapse inward, so there is a lot of risk involved.
Start small with blockchain ETFs and stocks
Because blockchain technology is so new and implementation is nascent, expect above-average volatility for these ETFs. While there is potential for huge investment returns, there is also the possibility that the investments will lose value over time if the blockchain and crypto economy don't take root as quickly as some expect. If you decide to invest, start small and maintain a long-term mindset in this fast-evolving realm of the fintech industry.
Related investing topics
Cryptocurrency versus blockchain ETFs
Blockchain ETFs and cryptocurrency are very different investments. Here are the main differences:
- Blockchain ETFs focus on players in the blockchain technology space. This could be coin miners, but it could also be chip or technology developers, or exchanges where cryptocurrencies trade. Basically, this includes any fund that makes money off of crypto and blockchain technology, but without the additional volatility that comes with holding actual coins.
- Cryptocurrency is simply a digital token. It's similar to trading currency, except that cryptos don't have a nation that uses them extensively. Because there are few true uses for cryptocurrencies, they can be very sensitive to sentiment and are prone to violent highs and lows.
Blockchain technology is often used on the same networks where cryptocurrencies exist, but doesn't necessarily interact with them.
FAQ
Investing in blockchain ETFs: FAQ
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