Bitcoin ETF Issuer VanEck Debuts Memecoin Index, Here’s Its Relevance

full version at coingape

Investment asset management firm VanEck has launched a Meme Coin Index for six cryptocurrencies on its Marketvector platform.

The VanEck Meme Coin Index

According to a screenshot shared by VanEck’s Head of Digital Asset Research Matthew Sigel, the Marketvector Meme Coin Index (MEMECOIN) is a modified market cap-weighted index that tracks the performance of the largest memecoins.

Only six of the largest memecoins will be featured on this chart, with their component weighting capped at 30%. The memecoins that make it to the Index tracker will see a monthly review. The metrics that the Meme Coin Index will track include the price of the underlying assets, All-Time-High, All-Time-Low as well as high/low at certain designated periods.

VanEck's @MarketVector launches $MEMECOIN index, top 6 assets, 30% cap.
Warns potential customers: "These coins are intended for entertainment purposes" pic.twitter.com/ihjhfCNIR4

— matthew sigel, recovering CFA (@matthew_sigel) May 8, 2024

With such a platform, crypto enthusiasts are likely to make more informed decisions about their investments. These crypto traders can ascertain the volatility of their memecoin of interest and manage their risks accordingly. This becomes more important at a time as this when several memecoins like Dogwifhat (WIF) are experiencing valuation uptick.

This is a developing story, check back for updates

The post Bitcoin ETF Issuer VanEck Debuts Memecoin Index, Here’s Its Relevance appeared first on CoinGape.