Grayscale Drops ADA and ATOM Tokens During Quarterly Fund Rebalancing
Summary:
During its quarterly fund rebalancing, crypto asset manager Grayscale removed Cardano's (ADA) token from its Digital Large Cap Fund and Cosmos' (ATOM) token from its Smart Contract Platform Ex-Ethereum Fund. After ADA's removal, the large-cap fund now consists of 70.96% Bitcoin, 21.84% Ethereum, and smaller percentages of Solana, XRP, and Avalanche. The smart contract platform fund, meanwhile, includes Solana, Cardano, Avalanche, Polkadot, and Polygon tokens. Both ADA and ATOM have recorded negative returns year-to-date.
In the course of its quarterly fund rebalancing, Grayscale, the world's preeminent crypto-oriented asset managing firm, has excised Cardano's (ADA) token from the Grayscale Digital Large Cap Fund (GDLC) and Cosmos' (ATOM) token from the Grayscale Smart Contract Platform Ex-Ethereum Fund (GSCPxE). This was disclosed in a communiqué on April 4. Funds accrued from token sales were utilized to purchase already existing fund components.
After ADA's elimination, Grayscale's major fund now houses 70.96% Bitcoin (BTC), 21.84% Ethereum (ETH), 4.52% Solana (SOL), 1.73% XRP, and 0.95% Avalanche (AVAX). Additionally, the smart contract platform fund of Grayscale now includes 58.41% Solana, 14.56% Cardano, 12.25% Avalanche, 8.53% Polkadot (DOT), and 6.25% Polygon (MATIC) tokens, following ATOM's removal. Grayscale's DeFi Fund remains unchanged, housing 48.74% of Uniswap (UNI), 20.41% MakerDAO, 13.17% Lido (LDO), 9.99% Aave (AAVE), and 7.69% Synthetix (SNX) tokens.
Grayscale, distinguished as the leading global crypto-centric asset manager, announced a crypto investment fund at March's end, emphasizing cryptos yielding staking rewards. The newly minted Grayscale Dynamic Income Fund promises to be exclusively available to customers possessing over $1.1 million in assets under management or a net worth exceeding $2.2 million.
ADA and ATOM have witnessed negative returns since the start of the year. ADA experienced an 8.1% decrease year-to-date (YTD), whereas ATOM witnessed over a 3.3% drop, substantially lagging behind Bitcoin, the pioneering cryptocurrency, and Ether. Bitcoin has seen a 59% surge since the year's outset while Ether skyrocketed over 40%, according to TradingView data.
ADA has lost over 10% on the weekly chart, after descending below the $0.6 psychological threshold on April 2. It's currently 81% adrift from its former record peak of $3.10 achieved in September 2021. Similarly, ATOM dropped over 10% over the preceding week, being traded at the $10.8 mark, indicating a 75% displacement from its historical high of $44.7 reached in September 2021.
Published At
4/5/2024 11:51:45 AM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.