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.
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.