Bitwise Announces Results of December 2021 Month-End Crypto Index Reconstitution

Rhea-AI Summary

Bitwise Index Services announces significant changes in its crypto indexes as of December 31, 2021, following monthly reconstitution. Notably, Avalanche has replaced Uniswap in the Bitwise 10 Large Cap Crypto Index, which primarily comprises Bitcoin (58.69%) and Ethereum (29.33%). Additionally, Loopring re-enters the Bitwise Decentralized Finance Crypto Index, replacing Ren. In the Bitwise Crypto Innovators 30 Index, Bakkt Holdings, Iris Energy, Greenidge Generation, and BIT Mining replace Ebang International, BIGG Digital Assets, EQONEX, and Arcane Crypto. These updates reflect dynamic market movements in the crypto asset landscape.

Positive

• Avalanche's inclusion in the Bitwise 10 Large Cap Crypto Index showcases its growing market strength.
• Loopring's re-entry into the Bitwise Decentralized Finance Crypto Index indicates renewed interest and potential growth in DeFi.
• New constituents in the Bitwise Crypto Innovators 30 Index (Bakkt Holdings, Iris Energy, Greenidge Generation, BIT Mining) may enhance diversification and investment opportunities.

Negative

• None.

Avalanche enters Bitwise 10 Large Cap Crypto Index, replacing Uniswap; Loopring re-enters the Bitwise Decentralized Financial Crypto Index, replacing Ren; Bakkt Holdings, Iris Energy, Greenidge Generation Holdings and BIT Mining replace Ebang International Holdings, BIGG Digital Assets, EQONEX and Arcane Crypto in Bitwise Crypto Innovators 30 Index.

SAN FRANCISCO--(BUSINESS WIRE)-- Bitwise Index Services, the indexing subsidiary of Bitwise Asset Management, today announced the results of the monthly reconstitution of the Bitwise Crypto Indexes, which took place on December 31, 2021, at 4pm ET.

There was one change to the constituents of the Bitwise 10 Large Cap Crypto Index as a result of the December 31, 2021 reconstitution: Avalanche entered the index, replacing Uniswap. As of December 31, 2021, at 4pm ET, the Bitwise 10 Large Cap Crypto Index held the following constituents: 58.69% Bitcoin (BTC), 29.33% Ethereum (ETH), 3.52% Solana (SOL), 2.98% Cardano (ADA), 1.76% Avalanche (AVAX), 1.19% Polygon (MATIC), 0.71% Algorand (ALGO), 0.68% Litecoin (LTC), 0.60% Chainlink (LINK), and 0.54% Bitcoin Cash (BCH).

There was one change to the constituents of the Bitwise Decentralized Finance Crypto Index as a result of the December 31, 2021 reconstitution: Loopring re-entered the index, replacing Ren. As of December 31, 2021, at 4pm ET, the Bitwise Decentralized Finance Crypto Index held the following constituents: 31.32% Uniswap (UNI), 14.95% Aave (AAVE), 11.65% Loopring (LRC), 10.09% Maker (MKR), 9.95% Curve (CRV), 5.43% Compound (COMP), 5.30% SushiSwap (SUSHI), 5.08% Yearn.Finance (YFI), 3.30% Bancor (BNT), and 2.93% 0x (ZRX).

The Bitwise Crypto Indexes are reconstituted on a monthly basis according to the rules of the Bitwise Crypto Index Methodology as applied by the Bitwise Crypto Index Committee. Minutes of the December 2021 Bitwise Crypto Index Committee meeting are publicly available here.

The Bitwise Crypto Innovators 30 Index of equities reconstitutes quarterly on the third Friday of the last month of each quarter. As a result of this reconstitution, on December 17, 2021, Bakkt Holdings, Iris Energy, Greenidge Generation Holdings and BIT Mining replaced Ebang International Holdings, BIGG Digital Assets, EQONEX and Arcane Crypto as constituents of the index. As of December 31, 2021 at 4pm ET, the following were the 10 largest constituents of the Bitwise Crypto Innovators 30 Index: 10.71% Coinbase Global Inc. (COIN), 10.17% Silvergate Capital (SI), 9.73% MicroStrategy (MSTR), 4.86% Voyager Digital (VOYG CN), 4.67% Galaxy Digital Holdings (GLXY CN), 4.28% Hut 8 Mining (HUT CN), 4.06% Northern Data AG (NB2 GR), 4.00% Marathon Digital Holdings (MARA), 3.96% Riot Blockchain (RIOT), and 3.89% Hive Blockchain Tech (HIVE CN). The index methodology for the Bitwise Crypto Innovators 30 Index of equities is available here.

The Bitwise Blue-Chip NFT Collections Index of NFTs reconstitutes quarterly on the last business day of each quarter. As the index initially launched on December 14, 2021, there are no new entrants or changes to constituents of the index. As of December 31, 2021, at 4pm ET, the Bitwise Blue-Chip NFT Collections Index held the following constituents: 32.69% CryptoPunks, 30.67% Bored Ape Yacht Club, 10.27% Mutant Ape Yacht Club, 4.90% VeeFriends, 4.52% Cool Cats, 3.93% Autoglyphs, 3.88% Fidenza, 3.30% Chromie Squiggle, 3.12% Meebits, and 2.71% CyberKongz Genesis. The index methodology for the Bitwise Blue-Chip NFT Collections Index is available here.

About Bitwise Asset Management

Based in San Francisco, Bitwise is one of the largest and fastest-growing cryptoasset managers. As of December 31, 2021, Bitwise managed over $1.3 billion across an expanding suite of investment solutions. The firm is known for managing the world’s largest crypto index fund (OTCQX: BITW) and pioneering products spanning bitcoin, ethereum, DeFi and crypto-focused equity indexes. Bitwise focuses on partnering with financial advisors and investment professionals to provide quality education and research. The team at Bitwise combines expertise in technology with decades of experience in traditional asset management and indexing, coming from firms including BlackRock, Blackstone, Facebook and Google, as well as the U.S. Attorney’s Office. Bitwise is backed by leading institutional investors and asset management executives, and has been profiled in Institutional Investor, CNBC, Barron’s, Bloomberg and The Wall Street Journal.

RISK DISCLOSURE AND IMPORTANT INFORMATION

Carefully consider the investment objectives, risk factors, and charges and expenses of any Bitwise investment product before investing. Investing involves risk, including the possible loss of principal. There is no guarantee or assurance that the methodology used by Bitwise or any of the Bitwise investment products will result in any Bitwise investment product achieving positive investment returns or outperforming other investment products. There is no guarantee or assurance that an investor’s investment objectives will be met through an investment into any Bitwise investment product, and an investor may lose money. Investors into any Bitwise investment product should be willing to accept a high degree of volatility in the price of such investment product and the possibility of significant losses. Bitwise investment products involve a substantial degree of risk. Certain Bitwise investment products may be available only to institutional and individual accredited investors.

Certain of the Bitwise investment products may be subject to the risks associated with investing in crypto assets, including cryptocurrencies and crypto tokens. Because crypto assets are a new technological innovation with a limited history, they are a highly speculative asset. Future regulatory actions or policies may limit the ability to sell, exchange or use a crypto asset. The price of a crypto asset may be impacted by the transactions of a small number of holders of such crypto asset. Crypto assets may decline in popularity, acceptance or use, which may impact their price. The technology relating to crypto assets and blockchain is new and developing. Currently, there are a limited number of publicly listed or quoted companies for which crypto assets and blockchain technology represent an attributable and significant revenue stream.

NFTs are an extremely new artistic and cultural phenomenon, and interest in such artwork could wane. If the demand for NFT artwork diminishes, the prices of NFT items could be negatively affected. The market for NFTs can be subject to shallow trade volume, extreme hoarding, low liquidity and high bankruptcy risk. NFTs are also subject to risks and challenges associated with intellectual property rights and fraud.

The opinions expressed herein are intended to provide insight or education and are not intended as individual investment advice. Bitwise does not represent that this information is accurate and complete and it should not be relied upon as such.

This material represents an assessment of the market environment at a specific time and is not intended to be a forecast of future events or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the funds or any security in particular. Past performance is no guarantee of future results.

Diversification may not protect against market risk. Diversification does not ensure a profit or protect against a loss in a declining market.

Bitwise may attempt to have shares of its investment products quoted on a secondary market. However, there is no guarantee this will be successful. Although the shares of certain Bitwise investment products have been approved for trading on a secondary market, investors in any other Bitwise investment product should not assume that the shares will ever obtain such an approval due to a variety of factors, including questions that regulators such as the SEC, FINRA or other regulatory bodies may have regarding the investment product. Shareholders of such investment products should be prepared to bear the risk of investment in the shares indefinitely.

This press release is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction where such an offer or solicitation would be illegal, nor shall there be any sale of any security in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction. The offer and sale of these investment products have not been registered with or approved or disapproved of by the Securities and Exchange Commission or the securities commission or regulatory authority of any state or foreign jurisdiction.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220103005514/en/

Frank Taylor/Ryan Dicovitsky

Dukas Linden Public Relations

Bitwise@DLPR.com

Source: Bitwise Asset Management

FAQ

What changes occurred in the Bitwise Crypto Indexes on December 31, 2021?

Avalanche replaced Uniswap in the Bitwise 10 Large Cap Crypto Index, and Loopring re-entered the Bitwise Decentralized Finance Crypto Index, replacing Ren.

Which companies were added to the Bitwise Crypto Innovators 30 Index in December 2021?

Bakkt Holdings, Iris Energy, Greenidge Generation Holdings, and BIT Mining replaced Ebang International Holdings, BIGG Digital Assets, EQONEX, and Arcane Crypto.

What is the current composition of the Bitwise 10 Large Cap Crypto Index?

As of December 31, 2021, it includes 58.69% Bitcoin, 29.33% Ethereum, and 1.76% Avalanche, among others.

What percentage of the Bitwise Decentralized Finance Crypto Index is made up of Uniswap?

Uniswap constitutes 31.32% of the Bitwise Decentralized Finance Crypto Index.

How often are changes made to the Bitwise Crypto Indexes?

The Bitwise Crypto Indexes are reconstituted monthly, while the Bitwise Crypto Innovators 30 Index reconstitutes quarterly.