June Rebalance Metaverse Index

Objective of the Metaverse Index (MVI):

The Metaverse Index (MVI) is designed to capture the trend of entertainment, sports and business shifting to take place in virtual environments. The MVI uses a combination of the square root of market cap and liquidity weighting to arrive at the final index weights.

MVI Rebalance Weights:
Weights were calculated as of June 30th 2021

Here’s the change in allocations with “current” allocation taken at the time of writing.

Rebalance summary:

The above weights were calculated based on the average market cap and liquidity during the determination phase, which is always the last 7 days of the month.

During June, we saw a noticeable dispersion of returns for the tokens in the MVI, from 27.5% for MUSE to -54.7% for TVK. The new weights largely reflect the performance of the tokens as there were no meaningful changes to liquidity. One exception is MANA where a new Sushiswap pool was launched in mid-May and has attracted ~$3m of liquidity.

Based on some analysis we did with @jdcook’s help, we were able to look at the liquidity pools for the underlying tokens in terms of the number of tokens in them, instead of the $ amounts. We were glad to see that for 65% of the constituents, the number of tokens in the pool has increased since the launch of MVI.

Additionally, the MVI will have no new token additions in this month’s rebalance.