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VanEck Launches Meme Coin Index for Crypto Investors
VanEck’s MarketVector has unveiled the Meme Coin Index, designed to track the market capitalization of the six largest meme coins.
The market capitalization of the six largest meme coins is closely monitored by this index, which caps individual coin weights at 30% to ensure fair representation. It serves as a valuable tool for institutional and retail investors, providing insights into the dynamic and burgeoning meme coin market.
Currently leading the index with 30.77%, Dogecoin emphasizes its well-established presence. With 28.34%, Shiba Inu is in second place. The remaining weights are completed by newcomers Pepe (PEPE) at 14.51%, Dog hat (WIF) at 12.54%, Floki Inu (FLOKI) by 7.14%, and BONADO by 6.7%.
The tool offers institutional investors a methodical way to enter the volatile meme coin market. The index alleviates the need for direct exposure to specific currencies by providing an aggregated view of your most significant assets.
On the other hand, individual investors can use the index to understand the market share and comparative performance of their preferred currencies.
Matthew Sigel, head of digital asset research at VanEck, said this new MarketVector index could better encapsulate the spirit of the cryptocurrency market than any other benchmark if memes really are the new alpha. He continues: “We look forward to seeing what others build on this.”
The meme coin index has increased by almost 202% in the past year, despite a slight decline recently. This shows how quickly this specific area of the cryptocurrency market is growing and how much speculative interest there is.
Read too: Retail Investors Dominate Bitcoin ETF Flows, Says VanEck CEO