Disclosed a portfolio rebalancing in an sec report, involving the sale of avalanche (avax) and the use of the proceeds to purchase existing fund components in proportion to their respective weightings. the fund included 65% bitcoin, 31% ethereum, 2% of the cardano network’s ada token, and 1% each of the polygon network’s matic and the solana network’s sol. after a regularly scheduled quarterly review, the fund also dumped bitcoin cash (bch), litecoin (ltc), chainlink (link), polkadot (dot), and uniswap (uni) stashes. both grayscale and coindesk, the owner of the coindesk large cap select index which the fund tracks, are owned by digital currency group.
Portfolio rebalancing happened on september 30th, when avax made up less than 1% of the fund’s assets. the coindesk large cap select index tracks the market capitalization-weighted performance of the largest and most liquid digital assets. on the same day, digital currency group was under scrutiny due to questions surrounding the solvency of its lending arm, genesis, and the company’s partner for its gemini earn product.
Digital large cap fund used the proceeds from selling avax to purchase existing fund components in proportion to their respective weightings. this was done in order to track the coindesk large cap select index, which includes the largest and most liquid digital assets. cameron winklevoss shared an open letter accusing digital currency group ceo barry silbert of “bad faith stall tactics” due to the $900 million worth of user funds locked on genesis’ platform since november. the fund had $163 million in assets under management (aum) as of friday morning, when avax was trading at $11.56, down 15% from a month ago.