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MarketVector IndexesTM Launches Innovative Token Terminal Fundamental Index Suite

Revolutionizing Digital Asset Indexes With Fundamental Strategies That Leverage On-Chain Metrics

While the cryptocurrency market rapidly evolves and investors seek innovative approaches to the sector, MarketVector IndexesTM (“MarketVector”), a pioneer provider in digital assets indexing, today announced the launch of the MarketVectorTM Token Terminal Fundamental Index Suite, a groundbreaking approach to creating multi-token baskets.

Within this suite of indexes are the MarketVectorTM Token Terminal Fundamental Index and the MarketVectorTM Token Terminal Fundamental Cap-Weighted Strategy Index.

“With over 20,000 tokens available, selecting the right coin is a daunting task for investors,” said Martin Leinweber, Digital Asset Product Strategist at MarketVector. “The market is saturated with speculative investments. Our index stands out by emphasizing on-chain criteria, ensuring the selection of tokens that have significant economic value and user traction. The digital asset landscape demands a sophisticated approach to index construction. We believe that the next cycle of crypto adoption will be driven more by fundamentals than the previous cycles.”

Key Highlights of the Indexes:

  • Innovative Token Selection: At the heart of this strategy is the use of fundamental on-chain data that measures the actual usage of blockchain protocols.
  • Focus on Fundamental Metrics: The selection process prioritizes fee revenue and active users as key indicators of a token's value.
  • Dual Weighting Schemes: The suite offers two versions for token weighting: one fundamentally oriented and the other based on market capitalization, catering to different investment strategies.

“In contrast to traditional market cap-based indexes, these new indexes leverage fundamental data in their methodology to better capture the financial and user traction of blockchains and decentralized applications,” said Rasmus Savander, Commercial Lead at Token Terminal. “We believe that fundamentals-based indexes will only grow in popularity as the crypto market continues to mature, and more focus is given to transparently accessible on-chain fundamentals,”

MarketVector's fundamental indexes include customization features that empower clients to tailor them to their specific investment needs and goals. This flexibility allows for the selection of custom closing times for prices, catering to different global market hours, and the use of an extensive range of on-chain metrics and fundamental ratios from Token Terminal. Clients can refine selection criteria and adjust the weighting of metrics like fees, active users, transaction volume, and more, according to their own analysis and risk appetite. This innovative approach transforms the index into a dynamic, adaptable tool, perfectly aligned with each client's unique investment strategy and market outlook.

Detailed information about the indexes, including methodology details and index data, is available on the MarketVector website.

Key Index Features

MarketVectorTM Token Terminal Fundamental Index (MVTT10F)

Number of Components: 10

Base Date: December 31, 2020

Base Value: 100

Key Index Features

MarketVectorTM Token Terminal Fundamental Cap-Weighted Strategy Index (ticker: MVTT10M)

Number of Components: 10

Base Date: December 31, 2020

Base Value: 100

About MarketVector Indexes - www.marketvector.com

MarketVector IndexesTM (“MarketVector”) is a regulated Benchmark Administrator in Europe, incorporated in Germany and registered with the Federal Financial Supervisory Authority (BaFin). MarketVector maintains indexes under the MarketVectorTM, MVIS®, and BlueStar® names. With a mission to accelerate index innovation globally, MarketVector is best known for its broad suite of Thematic indexes, long-running expertise in Hard Asset-linked Equity indexes, and its pioneering Digital Asset index family. MarketVector is proud to partner with more than 25 Exchange-Traded Product (ETP) issuers and index fund managers in markets worldwide, with more than USD 30 billion in assets under management.

About Token Terminal – www.tokenterminal.com

Token Terminal is a full-stack on-chain data platform focused on standardizing financial and alternative data for the most widely used blockchains and decentralized applications. The platform is used by the leading investors and operators in the crypto market. Token Terminal ingests over 100k transactions per day from more than 15 blockchains and manages over 50TB of raw blockchain data to power its industry-leading standardized financial and alternative data sets.

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