Grayscale Rebalanced DeFi Funds By Removing Bancor And UMA

Grayscale rebalanced Defi funds for the second time since the inception in July 2021 and also adjusted the weighting of the digital large-cap fund as we are reading more in our latest cryptocurrency news.

The crypto asset manager Grayscale rebalanced the DeFi fund and adjusted the weightings of the digital large-cap fund. The announcement detailed the changes that the company made to its two funds as it added the native collateral token of the Flexa payment network while Bancor’s and Universal Market Access have been removed. Flex uses the AMP token to collateralize crypto payments and settles them in fiat to recipients enabling the merchants to accept crypto much more easily.

We have just announced updated component weightings for Grayscale #DeFi Fund, which now includes $AMP. This is the first time AMP will be included in a Grayscale investment vehicle. Read this thread for more: pic.twitter.com/jfKAih24cS

— Grayscale (@Grayscale) January 3, 2022

Grayscale switched the weightings but didn’t change the token list of the Grayscale Digital Large Cap Fund. The Defi fund now has nine different crypto assets from the Defi ecosystem. Uniswap has the biggest weighting in the fund with 42% while the newly added AMP comprises 7.38%. The grayscale DeFi fund has a share price of $5.56 which is an 11.2% gain since its inception share price of $5. The fund has $11.6 million assets under management and 2.08 million shares. Grayscale is best known for its Grayscale Bitcoin trust that now has $30.1 billion assets under management with shares trading at $34.27 marking an increase of 23% since July 2021 and an increase of 59.16% over the past year.

Both the grayscale DEfi fund and the Bitcoin trust outperformed the Defi pulse index which is the biggest by market cap. The DPI has a higher trading volume and has dropped by 2% over the same period. Grayscale had the highest increase in BTC holdings among the spot BTC ETFs and the corporations in 2021 that accrued 645,199 BTC by the end of the year which account for 71% of the spot ETF and corporate markets BTC holdings.

As recently reported, The Grayscale Bitcoin trust reached the biggest discount ever and closed the previous week with a record discount of 21.36% according to the data from Glassnode. This means that the new investors can buy GBTC shares at prices dramatically lower than the actual market value of BTC while the existing holders will face losses because of the six-month lock-up period of the initial investment. According to the company, the GBTC shares price dropped by 3.46% and recorded a $43.77 price tag per share.