Crypto Index Fund

[noobinvestor]

I want a crypto index fund.

It should be an index fund of the top X coins in terms of market cap, weighted by market cap. Perhaps use coinmarketcap.com to recalculate. I would be happy if X was any number over about 10. Now, this might catch some scams, but it will be self correcting. The primary advantage is the same advantage of index stock funds over actively managed stock funds.

Details tbd include whether the fund rebalances every day or every week or whatever, where to buy the coins that it would hold and where and how to trade to maintain the index-required holding percentages.

I have been looking/reading/watching for several weeks now and haven't found a passive coin index fund. It should exist and I would invest if it existed.

What do you think?

Edit: It appears cryptomover's index may be exactly what I want, but I think I read that U.S. investors are excluded.

[bobbit6k]

I was  thinking the same thing.

Isn't http://www.bittwenty.com a similar concept?

Rob

[LoyceV]

Although I like the idea, "weighted by market cap" is a bad measure.

I'm not sure though what would be a good way to select them. Also, small market cap coins tend to grow faster than coins with a large market cap. I can imagine different funds, some with small cap coins, some with large coins.

Of course, this year altcoins showed crazy increases, many went up 10,000% in a few months. If you have a fund that invests in 50 different coins, a few of those would lead to a very nice ROI. Especially at this point an index fund can safe you a lot of work, as it's an impossible task to safely invest in that many different coins on your own, and keep them in wallets under your control.

I would invest in a crypto index fund, if it's created by an established institution, not a random ICO where an anonymous person wants to be trusted with hundreds of millions of dollars.

[CryptoBerd]

I want a crypto index fund.

It should be an index fund of the top X coins in terms of market cap, weighted by market cap. Perhaps use coinmarketcap.com to recalculate. I would be happy if X was any number over about 10. Now, this might catch some scams, but it will be self correcting. The primary advantage is the same advantage of index stock funds over actively managed stock funds.

Details tbd include whether the fund rebalances every day or every week or whatever, where to buy the coins that it would hold and where and how to trade to maintain the index-required holding percentages.

I have been looking/reading/watching for several weeks now and haven't found a passive coin index fund. It should exist and I would invest if it existed.

What do you think?

Edit: It appears cryptomover's index may be exactly what I want, but I think I read that U.S. investors are excluded.

There is an ICO on this now.  It is call Crypto20.  https://crypto20.com/en/

Go and see if this is what you wanted.

[dragons_are_secure]

You also might want to look at:
 https://www.bitwiseinvestments.com

I like their management approach.

[dragons_are_secure]

I'd be curious the take of other Bitcoin Forum members -- I think a new cryptocurrency just to invest (like the ICO link) makes less sense to me than the approach that Bitwise is taking with it being an investment in the index fund -- what might be the advantages/disadvantages of an investment in the ICO vs an investment in the Bitwise Index Fund?

[aso118]

Although I like the idea, "weighted by market cap" is a bad measure.

I'm not sure though what would be a good way to select them. Also, small market cap coins tend to grow faster than coins with a large market cap. I can imagine different funds, some with small cap coins, some with large coins.

Of course, this year altcoins showed crazy increases, many went up 10,000% in a few months. If you have a fund that invests in 50 different coins, a few of those would lead to a very nice ROI. Especially at this point an index fund can safe you a lot of work, as it's an impossible task to safely invest in that many different coins on your own, and keep them in wallets under your control.

I would invest in a crypto index fund, if it's created by an established institution, not a random ICO where an anonymous person wants to be trusted with hundreds of millions of dollars.

You could have different funds in the crypto space, just like in equity.
Apart from large cap, mid cap and small cap funds, you can have thematic investments. One fund could invest in coins which have an anonymity theme. I think the first step is for an ETF to be established. Then you can have different fund variations.

[HeRetiK]

I'm not sure what to think of applying the concept of index funds to crypto. On one hand it's a great way to provide an investment vehicle to traditional investors. On the other hand it leads the concept of decentralized money at absurdum. But I guess that's mostly a question of personal preference and there's obviously a market for such a financial product.

You also might want to look at:
 https://www.bitwiseinvestments.com

I like their management approach.

Quite interesting. Not sure what to think of them rebalancing monthly though. That seems like an excessively long time frame for something as fast paced and volatile as crypto. It will be interesting to see how they fare in a bear market.

[luke.watson]

I think Iconomi offers exactly what you want (https://www.iconomi.net)

They have a lot of different funds to chose from, some doing quite adventurous investing and some more conservative...

All the funds re-weight often to make sure they're investing in the best coins - but some do charge a rather high management fee, up to 6%

They have a really nice interface as well, I've used them for a bit and really like the service

[CryptoKnight91]

www.CrescentCrypto.com

Check out the team at Crescent Crypto. They have a passive private index fund that is managed entirely by Goldman Sachs alumni. Really  smart, well credintialized guys, and their fee is much lower than Iconomi.

I think their strategy is exactly what you’re looking for.

[LoyceV]

www.CrescentCrypto.com

The website has exactly the same style as any shady ICO website.
It shows a made up 2021 growth graph to convince you to throw money at their fairy tale:

(hotlink failed, link to image)

They have a passive private index fund that is managed entirely by Goldman Sachs alumni.

If you think the name Goldman Sachs inspires confidence, you don't understand a thing about cryptocurrencies!
If Vanguard would offer a crypto index fund, I'd invest instantly. Those are the names I trust for investments, not big banks.

I think their strategy is exactly what you’re looking for.

Thanks for advertising your website. I'm not joining.

[coinseedco]

https://crypto20.com/en/ they had a very successful ICO.

[timerland]

https://crypto20.com/en/ they had a very successful ICO.

This and also there is one on the bts platform as well. Both of these should fit OP's needs pretty well i think and as long as he is comfortable with people holding his funds and doing whatever they want with it, then i see no problems with crypto20 or bittwenty on bts.

If you're really going to invest in cryptos, why not actually hold your balance yourself, in a private key, and have the peace of mind?

Use a multicoin wallet like coinomi or exodus if you really needed to. At least you're not handing control over your funds directly over to a third party that you don't even know exists or not.

[kittucrypt]

https://crypto20.com/en/ they had a very successful ICO.

This and also there is one on the bts platform as well. Both of these should fit OP's needs pretty well i think and as long as he is comfortable with people holding his funds and doing whatever they want with it, then i see no problems with crypto20 or bittwenty on bts.

If you're really going to invest in cryptos, why not actually hold your balance yourself, in a private key, and have the peace of mind?

Use a multicoin wallet like coinomi or exodus if you really needed to. At least you're not handing control over your funds directly over to a third party that you don't even know exists or not.

Knowledge of how to store altcoins safely isn't that common. At best most of the folks trust an exchange to keep their coins safe. I believe that's why a requirement was posted by OP.

[Fortnight]

The NYSE has already filed with the SEC to create two Bitcoin ETFs. If those prove popular, than ETFs for other high-volume currencies and eventually baskets of currencies won’t be far behind.

[diwataluna]

This is a novel idea and with Bitcoin Futures, is not far behind if the momentum of the market is sustained. I do think HeroTik makes a good point. An index is not decentralizing at all. And with so many exchanges cropping up, it could be challenging.

[Hazeey]

The NYSE has already filed with the SEC to create two Bitcoin ETFs. If those prove popular, than ETFs for other high-volume currencies and eventually baskets of currencies won’t be far behind.

The ETFs were rejected by the SEC

[arielcrypto]

The best option is www.thecryptosfund.com, which follows the www.cci30.com index. Being a regulated fund the minimum investment is quite high at $100k, but the fees are really low at 0.99% per year with no performance fee.

[OPEXDECAPEX]

hi all ,

anyone knows of a crypto index fund that I can visit face to face in asia?

I would like to invest but I just wanted to know the people who are doing it.

thanks

[timerland]

hi all ,

anyone knows of a crypto index fund that I can visit face to face in asia?

I would like to invest but I just wanted to know the people who are doing it.

thanks

Nope. Most of these securities funds are going to be run by anonymous people, or people in Europe. Especially with the bans happening all over in Asia, the projects that I have seen are all incorporated in loose-tax countries.

For instance, Crypto20 is incorporated in the Cayman Islands with no address.

https://crypto20.com/en/ they had a very successful ICO.

This and also there is one on the bts platform as well. Both of these should fit OP's needs pretty well i think and as long as he is comfortable with people holding his funds and doing whatever they want with it, then i see no problems with crypto20 or bittwenty on bts.

If you're really going to invest in cryptos, why not actually hold your balance yourself, in a private key, and have the peace of mind?

Use a multicoin wallet like coinomi or exodus if you really needed to. At least you're not handing control over your funds directly over to a third party that you don't even know exists or not.

Knowledge of how to store altcoins safely isn't that common. At best most of the folks trust an exchange to keep their coins safe. I believe that's why a requirement was posted by OP.

How is it not that common? Conducting a quick youtube search will be enough alongside your common sense. The chances of you getting hacked is much lower than one of these funds exit scamming, if you store your coins even on a desktop client.