The index is comprised of 16 of the largest and most liquid cryptocurrencies.
MV Index Solutions (MVIS) and Crescent Crypto Asset Management have partnered for the launch of Crescent Crypto Market Index (CMIX).
MVIS has issued a range of digital asset indices, having partnered with AMUN AG last month for the launch of a crypto ETP, a world’s first. Crescent Crypto is a passive index provider and will be managing CMIX.
Designed to track a market capitalisation weighted basket of the industry’s leading digital assets, CCMIX is comprised of 16 of the largest and most liquid cryptocurrencies, according to MVIS. It has potential to expand up to a maximum of 20 digital assets.
The index incorporates a 90-day market cap selection and weighting methodology which MVIS says reduces investors exposure to short term price volatility.
Bitcoin currently holds majority of the index weighting with 63 per cent, followed by Ethereum with 11.6 per cent and Ripple with 9.9 per cent. MVIS says the weighting of the index is determined to accurately represent the market cap proportion of the cryptocurrency market.
Christopher Matta, Co-Founder at Crescent, said in a statement: “This will provide market participants real-time access to the most representative index for the cryptocurrency space. Our crypto-specific methodology strengthens the index as a proxy for cryptomarket price movements.”
The year-to-date performance of the index is -80.18 per cent following the fall of the cryptocurrency market throughout 2018. It has been over one year since Bitcoin reached its peak of $20,000 before its slide to $3,200 in early December. This week however has seen the coin face another bull run, climbing back up nearly 20 per cent to $3,800.