Grayscale Adds Solana and Uniswap to $495M Investment Fund
Crypto investment house has added Solana and to the $495 million Digital Large Cap Fund in its latest quarterly rebalancing. The allocations mark the first time the New York-based company has added Solana to an investment vehicle.
As of the end of yesterday, Solana made up 3.24% of the Digital Large Cap Fund, and UNI another 1.06%. dominates the fund, making up 62%, and is the next largest coin, making up 26%. , , and make up the rest.
The fund bought Solana and Uniswap by selling some of the other assets in the fund. Grayscale has decreased its Bitcoin allocation by about 5% since the last rebalancing. Other holdings changed by small amounts. The fund’s ADA holding, only introduced last quarter, has increased from 4.26% to 5.11%.
The rebalancing emphasizes how Solana has become a favorite of the crypto market. The Solana functions as a high-speed, low-cost competitor to blockchains like Ethereum, and a rival to Cardano, and .
Solana’s price swelled along with its popularity. The coin started rising this summer and peaked at $191 in mid-September before falling to its current price of $161.
Although it has dipped since its peak, Solana still maintains a market cap of $48 billion, and the market cap of Solana-based recently hit $1 billion.
The rebalancing also shows how Bitcoin’s dominance has given way to altcoins. In April, Bitcoin made up 79.8% Bitcoin of the fund, and the fund allocated just 17% to Ethereum. Bitcoin’s dominance by market cap has also fallen, from 69% in April to 42% today.
Grayscale’s largest product remains its Bitcoin trust. It manages $30 billion, far eclipsing the $495 million held in its Large Cap Fund. Grayscale’s Ethereum product is its second-largest. That fund manages $9.9 billion. They are convenient ways for institutional investors to invest in Bitcoin indirectly and have someone else handle custody.
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