Russia is calling for a payment system based on blockchain technology

With Western sanctions against the country of Russia, management sees blockchain technology as a way to shore up the global financial system.

“The technology of digital currencies and blockchains can be used to create a new system of international settlements that will be much more convenient, absolutely safe for users and, most importantly, will not depend on banks or interference from third countries,” said the Russian president Vladimir Putin at an event hosted by Sberbank, the largest Russian bank and a major lender to the government, as reported by Cointelegraph.

“I am convinced that something like this will certainly be created and will develop because no one likes the dictates of the monopolists, which harms all parties, including the monopolists themselves,” Putin added.

Of course, the comments have some geopolitical overtones that benefit the country, but it also underscores the global reach of blockchain technology. For investors looking to bolster their portfolios for growth opportunities in 2023 and beyond, blockchain-focused funds are an option to consider.

The flexibility of active exposure

In an uncertain market like now, it is important to have some flexibility. This means having the ability to change positions in the market when conditions deem it necessary, which can be achieved through the use of active management via exchange-traded funds (ETFs) such as Amplify Transformational Data Sharing ETF (BLOK).

As mentioned, BLOK has an active management strategy that can flex with the market’s movements by placing holdings in the hands of experienced portfolio managers. BLOK adds diversified exposure and cryptocurrency exposure without investing in the currencies themselves.

Given blockchain’s growing use overseas, global exposure adds a touch of diversification to portfolios. BLOK is doing just that by looking at opportunities outside the US

While the majority of the fund (75%) contains holdings in North American-based companies, the fund also diversifies with holdings in Western Europe and the Asia-Pacific, investing in companies that use and develop blockchain technology, the technology behind cryptocurrencies such as bitcoin. This means that the fund can gain exposure to growth opportunities abroad where this technology can be fully utilized.

According to the product website, BLOK has:

• A global equity portfolio of professionally selected companies involved in blockchain technology and indirect crypto exposure.
• An active management approach that can enable the fund to remain flexible, make timely decisions and identify companies best positioned to profit from the evolving blockchain technology space.
• The convenience and transparency of the ETF structure.

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