Debut on Hashdex Metaverse ETF B3;  Understand whether investing is worth it

Debut on Hashdex Metaverse ETF B3; Understand whether investing is worth it

  • For Marcelo Sampaio, CEO of Hashdex, the depreciation of assets does not reflect the progress of the project and occurs at a moment of turmoil in what is considered risky investment.
  • META11 will offer investors exposure to cryptocurrencies in the blockchain culture and entertainment industry
  • NFTS11, the first ETF to invest in Metavers to make its debut on the Brazilian Stock Exchange, has lost 66.92% of its value since launch.

The META11 Metaverse ETF was launched on Friday (3) B3. This product will offer investors exposure to cryptocurrencies in the blockchain culture and entertainment industry, the “CF Digital Culture Composite Index”, an index that invests in digital projects, technology and support protocols for blockchain platforms.

META11 follows in the footsteps of NFTS11, the first ETF to invest in Metavers to enter the Brazilian Stock Exchange and debuted in April. However, since its launch, the fund has lost 66.92% of its value.

In times of risk aversion, digital assets have suffered huge losses. Bitcoin, the main cryptocurrency, lost more than 45.31% of its value in 2022. Hashdex, the manager of META11, also monitors this devaluation. The five EFTs initiated by the manager have declined significantly throughout the year. BITH11 fell the most, depreciating 45.21%. ETHE11, which had the biggest decline, fell 58.68%.

For Hashdex CEO Marcelo Sampaio, asset depreciation does not reflect the progress of projects, which occurs when perceived investments, including crypto-assets, are perceived as risky. According to him, the investor should look at whether the dissertation is solid and its growth potential.

“Who is interested in such a product? [ETF de metaverso] It is necessary to pay attention to the long-term development of this sub-industry. It doesn’t matter if it goes down or up, but if you believe the industry can be bigger than it is today, keep developing, keep creating value and keep solving problems, “says Sampio.

Currently, the index reflected by the new EFT invests in the following assets: Decentraland (MANA), The Sandbox (SAND), Axie Infinity (AXS), Enjin (ENJ), Chiliz (CHZ), Audius (AUDIO), Chainlink (LINK)) , Polygon (MATIC), The Graph (GRT) and Ethereum (ETH).

META11’s total administration fee will be 1.3% and Hashdex estimates the initial quota amount will be R $ 50.

Sampio understands that Metavers has accelerated the process of digitizing the real world, but it is already running on platforms like Email, Facebook and Twitter. “It’s a very interesting moment. This younger generation is living more naturally in metavars than we see, ”says the CEO of Hashdex.

Check out the highlights of the Hashdex CEO interview E-Investor:

E-Investors – Is It The Right Time To Launch Metavers EFT By Avoiding The Risks Of Criminalizing Cryptocurrencies?

Sampaio – We try to be ignorant about it Union, Because we are long-term investors in crypto assets. So we want to serve the market with projects that we consider relevant and that will be big in the future. For us, honestly, it doesn’t matter if the market is up or down. It makes a difference if the dissertation is strong, has the potential to grow, and we believe that investors should pay attention to it.

And what do you think of the concrete dissertation for Metavers EFT?

Sampaio – There are enough interesting models to indicate when we understand the maturity of the models or if, at least, the business will grow. In the case of Metavers, what we saw was an impact not only on art but also on sports in particular. The logic that you get paid to play according to the merits of that game and build the economy as a whole. It’s a game sword that can have a secondary market, can be taken to another game, just like you take a sofa out of your house when you move. The idea of ​​creating an open economy with non-fungible assets is very powerful and very interesting. A lot can be created around him.

We already have evidence of events that have the potential to digitize the physical world, not just sports or art. There are even clearer use cases for NFTs, but they will still be developed in the future. How NFT should be your identity. You have one, I have one. What digital representation will you have in the future?

There are many things that blockchain involves. These models give sufficient indication that industry will be created in these concepts. Be it for what has already been proven or for what is to come. This kind of reasoning gives some clues about this investment.

ETFs launched by managers are declining sharply. Why should investors believe that this time will be different?

Sampaio – The market is falling due to risk aversion on the part of investors. It’s not just metavers, it’s any asset with a high level of risk. This does not mean that the property is bad or working badly, especially if you have a long-term outlook. If you look at the basics, the technology of basically every project is evolving a lot. The more people use them, the more integrated they are with the system and its various uses. But this is speculation, we do not know the future.

Anyone interested in a product like this should be aware of the long-term development of this sub-industry. It doesn’t matter if it goes down or up, whether you believe the industry can be much bigger than it is today, keep developing, keep creating value and keep solving problems.

How to understand the efficiency of metavers?

Sampaio – It’s a big process to digitize the real world that you know, or to create a world that you don’t know. This process has not started yet, we have been digitizing ourselves for a long time. From the moment you receive the email, real-world scanning begins. Even with a Twitter account. It just so happens that the technological advances we are seeing today are making it more and more immersive. As the tools get better you will find life in the metavors by creating entertainment and close relationships.

When you combine it with blockchain, the crypto world signals that it is going to be very fast. Because he puts the lost element in front of this world. Blockchain creates an interaction where value transactions are possible just like in the real world, but digitally and in an entirely open world. The art world already has files that are digital only.

You begin to imitate the physical world of that digital world. It’s a very interesting moment. This younger generation is living in meteors more naturally than we see.

What is investor profile looking for ETFs offered by Hashdex?

Sampaio – HASH11, which has more investors, follows traditional financial markets. They are clients like managers, funds and even retail investors. But products with this theme have different investors. They are people who are connected to a particular subject, who study it or basically believe in this thesis.

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