Grayscale Favours Litecoin and Bitcoin over Ethereum and XRP, Rebalances Index Fund

Thanks to the recent market surge in the Crypto industry, investors now are choosing individual trading patterns of altcoins from that of Bitcoin. The discreteness of the recent trading activity has pushed Greyscale to deviate its exposure to other significant Crypto assets.

Grayscale Investments, an investment group that focuses on digital assets, has altered their Digital Large Cap Fund’s (DLC) Crypto holdings by downsizing its holdings of both Ethereum and XRP while increasing their investments to Litecoin (LTC), Bitcoin Cash (BCH) and Bitcoin (BTC).

Following their quarterly review, Grayscale decided to shift the DLC’s holdings and harmonize its holdings to uphold the fund’s rule-based strategy that “seeks to provide exposure to the large-cap segment of the digital asset class.”

The company is increasing the fund’s exposure to Bitcoin from 66.8% to 68.3%, Bitcoin Cash from 2.8% to 2.9%, and Litecoin from 1.8% to 3.3%. In order to increase the DLC’s holdings of the three cryptos as mentioned above, Grayscale significantly cut its XRP exposure – reducing it from 14.7% to 11.9%. They also slightly lowered its exposure to Ethereum from 13.9% to 13.6%. However, no new crypto assets qualified for eligibility to be added to the fund following DLC’S Quarterly Review.

In March itself, the price of Bitcoin has increased from lows of roughly $3,800 to highs of $5,300. This awesome hike accelerated other asset holdings in the DLC fund to go up, with Bitcoin Cash shooting up from monthly lows of $128 to highs of $340, and Litecoin bouncing from as low as $50 to as high as $100. DLC reduced its exposure to XRP and Ethereum – because both have been lagging behind the other major cryptos. Ethereum hopped from monthly lows of $130 to highs of $180, and XRP rose from lows of roughly $0.30 to highs of $0.37.

Discuss this news on our Telegram Community. Subscribe to us on Google news and do follow us on Twitter @Blockmanity

Did you like the news you just read? Please leave a feedback to help us serve you better

Disclaimer: Blockmanity is a news portal and does not provide any financial advice. Blockmanity's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Blockmanity won't be responsible for any loss of funds.