Hoskinson reacts to the removal of ADA from GDLC
Charles Hoskinson reacts to the removal of ADA from GDLC by Grayscale
Grayscale Investments has announced changes to its cryptocurrency portfolios, prompting a response from Cardano founder Charles Hoskinson. The decision to remove Cardano (ADA) from the Grayscale Digital Large Cap Fund (GDLC) has stirred interest within the cryptocurrency community.
Grayscale, the world's largest cryptocurrency asset manager, conducted a detailed evaluation according to the CoinDesk Large Cap Select Index methodology. As a result of this process, GDLC was rebalanced, leading to the removal of ADA from the portfolio.
Charles Hoskinson's reaction to this decision was clear. In his tweet, he stated, "Wall Street giveth; Wall Street taketh away," highlighting the uncertain nature of investment strategies and fluctuations in the cryptocurrency market. His comment indicates that the digital asset market is often subject to external influences, including those controlled by Wall Street financial institutions.
Since April 5, 2024, the Grayscale Digital Large Cap Fund primarily consists of Bitcoin (BTC), which constitutes 70.96% of the portfolio, and Ethereum (ETH) at 21.84%. The remaining assets in the portfolio include Solana (SOL) - 4.52%, XRP - 1.73%, and Avalanche (AVAX) - 0.95%.
In addition to changes in GDLC, Grayscale has also made adjustments in its other funds, such as the Grayscale DeFi Fund (DEFG) and the Grayscale Smart Contract Platform Ex-Ethereum Fund (GSCPxE). These decisions were made to maintain diversified portfolios and optimize fund performance in line with current market trends.
However, it is worth noting that Grayscale has faced some media scrutiny regarding the lack of updates regarding their held Bitcoins. The latest update from April 1, provided by the on-chain analytics firm Lookonchain, raised this issue.
Grayscale Investments' decision to remove ADA from GDLC and Charles Hoskinson's reaction to this decision are significant events in the cryptocurrency market, highlighting the dynamic and unpredictable nature of this sector.
*This is not a financial advice
