The Bitwise 10 ex Bitcoin Crypto Index Fund comprises 9 coins. These are Ethereum, Cardano, Solana, Bitcoin Cash, Chainlink, Litecoin, Uniswap, Polygon, and Stellar.
Cryptocurrency asset manager Bitwise Asset Management has announced the launch of a new index fund – the Bitwise 10 ex Bitcoin Crypto Index Fund.
The new fund is touted as the first large-cap crypto index fund globally. It will provide exposure to the most promising assets in the crypto space apart from Bitcoin.
The new launch is a direct response to customer demand for same. According to Chief Investment Officer of Bitwise Asset Management, Matt Hougan, “Many investors today have exposure to bitcoin but are excited by the dynamic developments taking place around other assets.”
“This is the case with professional investors, who value the utility these assets offer,” he added. Likewise, Hougan stated that the new fund allows investors, individual or institutional, to complement their existing bitcoin exposure with other large-cap crypto assets, and get it managed professionally.
New Index Funds Taking Over the Market
Bitcoin’s share of the total market capitalization has dropped by almost 30%. Contrarily, other assets like Ethereum, Cardano, and Solana have grown in size and importance.
Consequently, the Bitwise 10 ex Bitcoin Crypto Index Fund comprises 9 coins. These are Ethereum, Cardano, Solana, Bitcoin Cash, Chainlink, Litecoin, Uniswap, Polygon, and Stellar. Together, they make up $1+ billion in assets.
Truly, these assets are the biggest on the block after Bitcoin. Their market capitalization ranges from $8 billion to $427 billion. Additionally, many of the assets are foundational to the growing Defi, smart contracts, and NFT ecosystems. As of August 31, 2021, the constituents were in the proportion listed below:
- Ethereum (ETH): 68.53%
- Cardano (ADA): 15.43%
- Solana (SOL): 5.49%
- Bitcoin Cash (BCH): 2.09%
- Chainlink (LINK): 2.08%
- Litecoin (LTC): 1.97%
- Uniswap (UNI): 1.50%
- Polygon (MATIC): 1.50%
- Stellar (XLM): 1.40%
It’s noteworthy that the new fund is overseen by the Bitwise Crypto Index Committee. Further support is given by the Bitwise Crypto Index Advisory Board. Also, before adding an asset, it is considered for suitability. This is done by screening around liquidity, custody, and regulatory risks, and weighting by market capitalization.
The index funds are secured with Coinbase Custody Trust Company, LLC. Accredited investors can access the new fund via private placement.
Bitwise also manages other investment funds aimed at improving user access to opportunities in the crypto space. Some of the other funds are the Bitwise DeFi Crypto Index Fund, the DeFi index fund; and single-asset in Bitcoin (BTC), Ethereum (ETH), Uniswap (UNI), and Aave (AAVE).
Bitwise is constantly partnering with investment professionals. The company manages the portfolios of RIAs, financial advisors, multifamily offices, high net worth individuals, hedge funds, and other institutional investors.