Grayscale has added Cardano to its Digital Large Cap Fund as part of its quarterly rebalancing, according to internal statements and publicly reported data.
The digital-asset manager has sold some existing constituents of the fund and used the proceeds to purchase ADA, an announcement Friday said,” writes Jamie Crawley at Coindesk.
As a major mover in cryptocurrency, Grayscale has led market innovations with products like its Bitcoin trust fund and its Digital Large Cap Fund that relies on front-running cryptocurrencies. Regardless of the new rumors that Ark Invest and partners are going to push the first Bitcoin ETF of its kind, for now, the GBTC offers a unique way for small investors to get into BTC. So does the DLCF.
A look at the makeup of Grayscale’s Digital Large Cap Fund shows it’s heavily weighted toward Bitcoin and Ethereum, which have been widely known as the two top cryptocurrencies in the wake of Ripple’s imbroglio with the SEC.
As for fund makeup, although over 75% of all fund balance is made up of Bitcoin and Ethereum holdings, the DLCF does hold Bitcoin Cash and Litecoin as well as Chainlink, which was added in the last round of rebalancing.
Cardano, though, has a larger share of the fund, with 4.3% to 1% for both Bitcoin Cash and Litecoin and .9% for Chainlink.
What’s all the hype around Cardano (ADA)?
Proponents of the new cryptocurrency call it the “Ethereum killer” because Cardano has the potential to innovate smart contract handling in ways that have traditionally been seen as Ethereum’s bailiwick.
At BeinCrypto, Dale Hurst reports, under a strange picture of bullish chart activity, that Cardano is building more of an established base in terms of staking addresses.
“Cardano (ADA) has reached a new milestone, as its total staking addresses pass the 650,000 mark,” Hurst writes. “It has been an eventful three weeks for the fifth most valuable cryptocurrency by market cap. In that time, it has added more than 50,000 new staking addresses. An increase of more than 8% since the beginning of June, when ADA reported its last milestone, surpassing 600,000 staking addresses.”
With all of this in mind, it may be time to look for ADA to break higher, or to make institutional plays that see Cardano as a future force in crypto.
