Grayscale added LDO token to its DeFi fund, making it the second-largest token
Grayscale Investments®, the world’s largest digital currency asset manager, recently announced the updated Fund Component weightings for its various investment products. In their respective second-quarter 2023 reviews, Grayscale made adjustments to the portfolios of the Grayscale Digital Large Cap Fund (GDLC), Grayscale DeFi Fund (DEFG), and Grayscale Smart Contract Platform Ex-Ethereum Fund (GSCPxE Fund).
Starting with the Grayscale Digital Large Cap Fund, there were no new tokens added or removed from the portfolio. As of July 6, 2023, the Fund Components consisted of the following assets and weightings: Bitcoin (BTC) at 70.05%, Ethereum (ETH) at 27.02%, Cardano (ADA) at 1.19%, Solana (SOL) at 0.99%, and Polygon (MATIC) at 0.75%. The Digital Large Cap Fund aims to provide investors with exposure to large-cap digital assets, following the CoinDesk Large Cap Select Index.
The Grayscale DeFi Fund, on the other hand, underwent some changes to its portfolio composition. Following the CoinDesk DeFi Select Index methodology, Grayscale sold certain amounts of existing Fund Components based on their weightings and used the cash proceeds to purchase Lido (LDO). No tokens were removed from the DeFi Fund. LDO is a digital asset created and transmitted through the decentralized Lido protocol, enabling liquid use of staked tokens on proof-of-stake blockchain networks.
The Fund Components of the DeFi Fund, as of July 6, 2023, were as follows: Uniswap (UNI) at 45.46%, Lido (LDO) at 19.04%, Aave (AAVE) at 11.53%, MakerDAO (MKR) at 10.82%, Curve DAO Token (CRV) at 7.03%, and Synthetix (SNX) at 6.12%. The DeFi Fund seeks to provide investors with exposure to leading decentralized finance platforms.
Regarding the Grayscale Smart Contract Platform Ex-Ethereum Fund, no new tokens were added or removed from the portfolio. As of July 6, 2023, the Fund Components were Cardano (ADA) at 25.89%, Solana (SOL) at 21.58%, Polygon (MATIC) at 16.38%, Polkadot (DOT) at 16.28%, Avalanche (AVAX) at 11.38%, and Cosmos (ATOM) at 8.49%. The GSCPxE Fund aims to provide investors with exposure to industry-leading smart contract platforms, excluding Ethereum.
Grayscale’s investment products do not generate income, and the Fund Components are regularly distributed to cover ongoing expenses. As a result, the number of Fund Components represented by shares of each fund gradually decreases over time.
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