Limeyard has launched first diversified index composed of top 20 crypto assets, together with Decentriq.
The Limeyard Crypto Asset index (LYCAI) has been designed to represent the cryptocurrency market while addressing regulatory and compliance related concerns. It has been licensed to be used as benchmark for the Blockchain Technologies Note, listed on the Frankfurt Stock Exchange. It is available for licensing by other financial products.
Patrick Valovic, founder and managing partner of Limeyard, said: “Our team has built this Index considering the needs of regulators, who have rejected some ETF proposals because their methodology was considered as too simplistic, and players could front run them. Excluding crypto assets which are enabling anonymity is also a way to ensure investors that any product based on this index will be compliant.”
The universe is comprised of crypto assets that traded on at least two out of 13 eligible exchanges. Crypto assets enabling anonymity are precluded, as well as those pegged to fiat currencies. To be included in the Index, components are screened to ensure their investability and reduce their volatility. It is composed of the top 20 components passing these screenings.
The index is calculated both in USD and in BTC.