TCAP StackUp: 10 Crypto Index Fund (BITW)

Does the sheer number of different cryptocurrencies make your head spin? Or perhaps keeping track of the taxable events while rebalancing your portfolio and having to shell out for gas fees has you down? Enter crypto index tokens: offering broad crypto exposure, savings on gas fees, and automatic rebalancing - all to make your investing journey easier. However, as always in crypto, there's more than one option to choose from; let's dig into the 10 Crypto Index Fund (BITW) and Total Crypto Market Cap Token (TCAP) to see how they stack up.

stackup tcap vs  bitw infographic final draft

**Market Cap figures as of 10/10/2021 (*https://www.coingecko.com/).

**AUM figures as of 10/10/2021 (https://www.bitwiseinvestments.com/funds/Bitwise-10).

***TCAP Polygon deployment currently in development.

StackUp Verdict

BITW & TCAP each come with their own strengths to consider.

  • Are you new to crypto or unsure which tokens to buy, but believe in the long-term growth of the crypto asset class and want broad exposure to it? - TCAP might be for you.
  • Do you want exposure to ~80% of the crypto assets in your brokerage or IRA account? - BITW could be a good option to consider.
  • Or perhaps you've called the top of the bull market and you want to open up a short position? - Both BITW and TCAP support this; BITW through opening a short position in a brokerage account, and TCAP through its minting and secondary market capabilities.

There are certainly other factors to consider, but when you evaluate index token options, whether they be BITW, TCAP, or something else, make sure you keep these key considerations in the back of your mind. Don't forget to stay tuned into Cryptex for more crypto index StackUps.

About the Tokens

Bitwise 10 Crypto Index Fund (BITW)

The 10 Crypto Index Fund, by Bitwise (BITW), is a CeFi index that offers users exposure to approximately 80% of the crypto market through its 10 underlying tokens. In addition, BITW offers the ability to be purchased and held within a traditional brokerage account and even offers support for IRAs from certain providers. Bitwise utilizes Coinbase Custody Trust Company as its cold storage custodian, whose fees are included in the fund's hefty 2.50% expense ratio. While accredited investor status is required for private placement investments, shares are available on the secondary market to all investors; market prices may trade at a premium or discount to the net asset value.

BITW rebalances monthly with the latest allocation holding 10 tokens: BTC, ETH, and ADA account for over 90% of the current index holdings with other assets including BCH, LINK & LTC. For more information, visit https://www.bitwiseinvestments.com/funds/Bitwise-10.

Total Cryptocurrency Market Capitalization (TCAP)

Total Crypto Market Cap Token (TCAP), by the Cryptex team, is designed to give investors accurate, real-time price exposure to the total capitalization of the cryptocurrency market via a single, synthetic asset. Data from a number of oracles is aggregated in order to establish a total market cap median value, which is then bridged on-chain through an audited Chainlink Smart Contract.

TCAP rebalances in real-time and by design includes everything: DeFi, DeFi Indexes, Stablecoins, Governance Tokens, Asset-back tokens, and wrapped tokens. For more information, visit https://cryptex.finance/.

DISCLAIMER: Any views expressed in this post represent the sole analysis of Cryptex, (“Cryptex”) whose opinions are based solely on publicly available information. No representation or warranty, express or implied, is made as to the accuracy or completeness of any information contained herein. Cryptex expressly disclaims any and all liability based, in whole or in part, on such information, any errors therein or omissions therefrom. Cryptex also reserves the right to modify or change its views or conclusions at any time in the future without notice. Cryptex is an open-source, fully decentralized protocol. Cryptex is NOT an ICO. No sale has been solicited. The information contained in this post DOES NOT recommend the use of any Cryptex token, nor is it an offer to sell, a solicitation, or an offer to buy any Cryptex tokenized asset. Furthermore, CTX token rewards governing the protocol are granted by Cryptex to system providers with a value of ZERO. Always do your own research. The information contained in this post is not intended to be, nor should it be construed or used as, investment advice. No representation, recommendation, or warranty, express or implied, is made as to the future performance or functionality of any Cryptex token. Any unaffiliated use of this document, or the contents herein, is strictly prohibited without the prior written consent of Cryptex.

CRYPTEX IS A FAIR LAUNCH PROTOCOL

  1. NO ICO
  2. NO VC FUNDING
  3. NO PRE-SALE
  4. CTX TOKENS ARE REWARDED AND ARE NEVER PURCHASED FROM CRYPTEX.
Read Next