Grayscale Digital Large Cap Fund is a passive, rules-based strategy that exposes 70% of the digital asset market.
Grayscale expressed: “Welcome Abroad, Cardano. We have adjusted the portfolio of Grayscale Digital Large Cap Fund to now include ADA.”
Edward McGee, Vice President of Finance at Grayscale, “We are excited to welcome Cardano to our Digital Large Cap Fund’s portfolio as we work to ensure that our diversified Fund can safely hold assets that collectively comprise 70% of the entire digital asset market. Digital currencies represent a unique opportunity for investors to diversify their portfolios. At Grayscale, we are proud to provide our investors with access to leading digital currencies through regulated, familiar product offerings.”
Ouroboros uses the PoS Consensus mechanism backed by academic research to improve further their smart contract platform’s scalability, security, and efficiency. ADA is the native token of the Cardano network, permits the holders to engage in peer-to-peer transactions and stake ADA as collateral to contribute to the network’s consensus mechanism.
The objective for Fund’s investment is for its shares to reflect on the value of the Fund Components, which will be held by the Fund, less the expenses, and other liabilities.
The shares quoted on OTCQX have not reflected the value of Fund Components held by the Fund. Less the Fund’s expenses and other liabilities, the Fund has not met its investment objective. However, the Funds have traded at both premiums and discounts to such value, with substantial variations.
The shares are titled in every investor’s name, thus providing for a well-known structure for financial tax advisors, and it is easily transferable to its beneficiaries under estate laws. Also, the shares are eligible to be held in certain IRA, Roth IRA, and other brokerage and investor accounts.
A table that shows the Fund’s weightings are available or verified. Grayscale has issued this release in compliance with the disclosure obligations of OTCQX®. The Fund’s Annual Report and other disclosures are already published to satisfy the Alternative Reporting Standard disclosure guidelines for OTCQX.
The Grayscale Digital Large Cap Fund portfolio has been adjusted by selling certain amounts of the already existing Fund components in proportion to their respective weightings, and the cash proceeds are used to purchase Cardano ($ADA).
Grayscale reviews the composition of the Grayscale Digital Large Cap Fund quarterly. The next Quarterly Review is set to occur at the end of September 2021.
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