Amplify ETFs has introduced two new exchange-traded funds (ETFs) aimed at providing investors with targeted exposure to the rapidly evolving sectors of stablecoins and tokenized assets. These funds, the Amplify Stablecoin Technology ETF (STBQ) and the Amplify Tokenization Technology ETF (TKNQ), are now trading on NYSE Arca, marking a significant expansion of Amplify's digital finance offerings.
Key Takeaways
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Two new ETFs, STBQ and TKNQ, launched by Amplify ETFs, focus on stablecoin and tokenization technologies.
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Both funds track MarketVector indices and offer exposure to equities and crypto assets.
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The launches coincide with increasing regulatory clarity and institutional interest in digital finance.
Amplify Stablecoin Technology ETF (STBQ)
The Amplify Stablecoin Technology ETF (STBQ) is designed to offer investors exposure to companies and digital assets that are integral to the stablecoin economy. This includes payment technology firms, crypto infrastructure providers, and platforms facilitating stablecoin-based trading. The fund tracks the MarketVector Stablecoin Technology Index, which comprises equities and crypto assets such as DeFi protocols and stablecoin-adjacent tokens. STBQ currently holds 24 assets, with significant allocations to spot crypto ETFs offering exposure to XRP, SOL, ETH, and LINK.
Amplify Tokenization Technology ETF (TKNQ)
The Amplify Tokenization Technology ETF (TKNQ) focuses on businesses that enable the digitization of real-world assets. It tracks the MarketVector Tokenization Technology Index and currently features 53 holdings. Similar to STBQ, TKNQ's largest holdings include spot cryptocurrency ETFs, alongside various equities involved in the tokenization landscape. Tokenization represents real-world assets like real estate, equities, and bonds as digital tokens on a blockchain, promising enhanced transparency, fractional ownership, and faster settlements.
Market Context and Regulatory Landscape
The introduction of these ETFs aligns with significant regulatory developments. The U.S. GENIUS Act, signed in July, established a federal framework for stablecoins and clarified compliance requirements for settling tokenized assets using stablecoins. Similarly, Europe's MiCA regulation is positioning stablecoins as a compliant backbone for digital finance. These advancements are fostering greater institutional confidence and participation in the digital asset space.
Fund Details and Investment Strategy
Both STBQ and TKNQ have a total expense ratio of 69 basis points. While the funds do not invest directly in cryptocurrencies, they may gain indirect exposure through other investment vehicles. The ETFs employ a passive management approach, seeking to mirror the performance of their respective MarketVector indices. The indices are rules-based and include companies and exchange-traded products actively involved in the growth and commercialization of stablecoins and tokenization.
Sources
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Amplify ETFs targeting stablecoin and tokenization sectors open for trade, Yahoo Finance UK.
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Amplify ETFs for stablecoins, tokenization go live for trading — TradingView News, TradingView — Track All Markets.
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Amplify ETFs Expands Crypto ETF Lineup With Stablecoin and Tokenization Funds, Yahoo Finance.
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