Sachin Bansal's Navi Mutual Fund files draft for blockchain fund

Sachin Bansal backed Navi Mutual Fund has filed draft for a blockchain fund. Navi Blockchain Index Fund of Fund will invest in units of overseas ETF’s and/or Index Fund that invest in the Indxx Blockchain Index.

According to the scheme information document, the minimum application amount will be Rs 500 and in multiples of Re 1 thereafter. The scheme's riskometer clearly states that the scheme will fall in the 'very high risk' category. The fund house has said that the total expense ratio of the scheme including weighted average of the total expense ratio levied by the underlying scheme(s) shall not exceed 1.00% of the daily net assets of the scheme.

Earlier, Invesco Mutual Fund had put the launch of its own blockchain fund on hold due to regulatory uncertainty. Even though the bill is not presented in the Parliament yet, there seems to be a consensus that there might not be a blanket ban on all cryptocurrencies. There is also news about cryptocurrencies being put under Sebi regulation. If this happens, more fund houses could join the line to launch new blockchain funds.