SushiSwap (SUSHI) and Synthetix (SNX) received a heavy blow on Wednesday after Grayscale Investments removed their exposure from its DeFi Fund’s portfolio as part of its quarterly readjustments.
The move came after the protocols’ market capitalization fell short of Grayscale’s minimum requirements. At press time, decentralized exchange SushiSwap and synthetic asset issuance protocol Synthetix have a market capitalization of $907 million and $1.2 billion, respectively.
The asset manager launched its DeFi fund in July last year, wherein it holds digital assets that make up the CoinDesk DeFi Index. The index, provided by media house CoinDesk, tracks some liquid DeFi assets on the basis of their market capitalization.
Grayscale, presently the world’s largest digital asset manager, has also rebalanced some of its other cryptocurrency funds, particularly the Digital Large Cap Fund and GSCPxE Fund.
For the Digital Large Cap Fund, the investment firm sold a certain number of existing crypto assets included in the portfolio to add some amount of Avalanche (AVAX) and Polkadot (DOT). Similarly, Grayscale added Cosmos (ATOM) to its GSCPxE Fund by selling a certain amount of existing fund components.