Grayscale is changing the assets that back its Grayscale DeFi Fund. Specifically, Amp (AMP) has been included while Universal Market Access (UMA) and Bancor (BNT) have been removed.
Grayscale integrates AMP into DeFi Fund
The company made a quarterly adjustment of sorts, which led to its decision to remove Bancor (BNT) and Universal Market Access (UMA).
At the same time, it added AMP, the native token of the Flexa Network project. Flexa is a digital cryptocurrency payment network for physical and online shops. The AMP token is used to ensure fast and secure transactions in the case of cryptocurrency payments.
With this addition, Grayscale shows that it believes in the project, and in fact in the official press release it says that Flexa:
“is one of a number of projects intended to accelerate the development of the blockchain into a mature peer-to-peer money system”.
The composition of the fund
Now the Grayscale DeFi Fund is composed as follows:
- Uniswap (UNI), 42.33%.
- Aave (AAVE), 13.06%.
- Curve (CRV), 10.63%.
- MakerDAO (MKR), 8.99%.
- Amp (AMP), 7.39%
- Yearn Finance (YFI), 6.34%.
- Compound (COMP), 5.02%.
- Synthetix (SNX), 3.15%
- SushiSwap (SUSHI), 3.09%.
Grayscale’s DeFi fund was launched last July. The tokens included in the fund are among the most prominent in decentralized finance and are part of the Coindesk DeFi Index. Every three months the composition of the index is re-evaluated and this also affects Grayscale’s fund.
Grayscale plans to list the DeFi Index on a secondary market in the near future, but it is not known if and when this will happen. It will also depend on what the SEC, FINRA and other regulators might decide.
Prices of the tokens
AMP‘s inclusion in the Grayscale DeFi Fund has sent the price of the token soaring and it now gains 5% to $0.05. It still remains a long way off its ATH of 12 cents reached in January 2021, exactly a year ago.
Bancor does not seem to have suffered a backlash. BNT is today above par (+0.7%) at a price of $3.45. Its volumes have risen 60% in the last 24 hours. Despite the fact that the price is still a long way from its ATH of $23 reached in June 2017, it has risen by 2,800% since its low on 13 March 2020 (the day of the market crash due to the Coronavirus panic).
UMA, on the other hand, lost 2.5% today and is trading at $9.31. UMA is also a long way from its ATH of $43 reached in February 2021, but nonetheless it has risen almost 700% since the market crash of March 2020.
Source: https://en.cryptonomist.ch/2022/01/04/grayscale-amp-bancor-defi-fund/