While awaiting a Spot Bitcoin ETF approval, Grayscale announced the FTSE Grayscale Crypto Sector Index Series, a novel way to look at the digital asset market and measure the performance of the rapidly growing crypto space.  

The joint product launch will be called the “Crypto Sector Index Series” including several indices that track the prices of various digital assets according to their use cases. The indices will cover more than 150 protocols and will be reassessed quarterly.

The cryptocurrencies list includes currencies like Bitcoin and Litecoin as a store of value and medium of exchange; smart contract projects such as Ethereum, Solana, and Polygon; tokens representing financial services such as Uniswap, Compound, and Curve; tokens representing art, gaming, and media assets such as NFT projects, and projects aimed at real-world applications such as Chainlink and Filecoin.

Read Also: Court Backs Grayscale: SEC To Reassess Spot Bitcoin ETF Application After DC Circuit Ruling

Why It Matters: “Investors have increasingly expressed interest in diversifying beyond crypto’s largest assets, Bitcoin and Ethereum, and many look to Grayscale to better understand this robust, evolving asset class,” Grayscale Investments CEO Michael Sonnenshein said.

The company plans to build tools and structures to monitor themes, risks, and opportunities of the asset class, advancing more informed investment decisions.

Inkoo Kang, Grayscale’s ETF director, said that the indices will use a square root of each cryptocurrency market capitalization so that the most capitalized ones, like Bitcoin, will not have an outsized effect on the whole group and investors have a more diverse exposure, The Block reported.

Grayscale's parent company, DCG, and its other subsidiaries faced a lawsuit last week by New York Attorney General Letitia James.

Read Next: SEC To Review Grayscale's Spot Ether ETF: Will Ethereum Prices Breakout Above $2,000?

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