A New Product From A Swiss Index Provider Tracks Ten DeFi Coins

• The company was created in 2017 and specialises in crypto, commodities, multi-assets, and real estate indexes and services. It oversees financial products worth $5 billion that are linked to its indices.

• Each token’s maximum weighting is capped at 35%, and a new group of assets is chosen each month. UniSwap (UNI), Compound (COMP), Aave (AAVE), and SushiSwap are among the more than 20 approved tokens that can be utilised as components for the Index each month (SUSHI).

• Compass Financial Technologies announced a partnership with top crypto fund manager CoinShares to use its indices as reference prices for CoinShares Physical Exchange-traded Products (ETPs), which have no management fees and pay staking rewards. In April of last year, the business released a set of EU BMR compliant crypto indices that covered it all from price levels to smart-risk control and volatility targets.

By including fundamental measurements into index development, investors will be able to allocate funds to the most efficient DeFi tokens based on sensible economic data, stated Guillaume Le Fur, CEO of Compass Financial Technologies.

Financial Products Worth $5 Billion

Compass Financial Technologies, a fund manager based in Switzerland, has developed the Compass Crypto Basket Fundamental DeFi Index, which includes ten Decentralized Finance (DeFi) coins (CCBFDEFI). The company was created in 2017 and specialises in crypto, commodities, multi-assets, and real estate indexes and services. It oversees financial products worth $5 billion that are linked to its indices. On February 22, the CCBFDEFI went online, providing institutional exposure to a collection of ten DeFi tokens that are individually weighted based on liquidity, market capitalization, and protocol revenue criteria as well as on-chain data.

Each token’s maximum weighting is capped at 35%, and a new group of assets is chosen each month. UniSwap (UNI), Compound (COMP), Aave (AAVE), and SushiSwap are among the more than 20 approved tokens that can be utilised as components for the Index each month (SUSHI). The institutional appetite for crypto exposure is expanding dramatically, according to Guillaume Le Fur, CEO of Compass Financial Technologies, as corporations seek compliant ways to participate in the sector:

Investors can allocate to the most efficient DeFi tokens based on sensible economic indicators by including fundamental criteria into index development. The CCBFDEFI is now available on the firm’s website, as well as Bloomberg and Refinitiv’s, and complies with EU Benchmark Regulations (EU BMR). Under a licence deal with Compass Financial Technologies, the product is also available for usage.

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A Partnership With Top Crypto Fund Manager CoinShares

In late January, Compass Financial Technologies announced a partnership with top crypto fund manager CoinShares to use its indices as reference prices for CoinShares Physical Exchange-traded Products (ETPs), which have no management fees and pay staking rewards. In April of last year, the business released a set of EU BMR compliant crypto indices that covered it all from price levels to smart-risk control and volatility targets.

Ritika Sharma

With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.