Singularity Fund — Weekly report #2
Weekly report from June 6 to June 13
Net Asset Value and Performance of the fund
NAV on June 13= $9.21
Performance from June 6 to June 13= 23.7%
Performance from May 31 to June 13= 49.84%
Fund Composition on June 13
In last week’s Singularity Fund report, we exposed our view about BTC, explaining that we believed that ETH had more upside potential and that we were progressively lowering the fund exposure to BTC. Well, what happened this week on the crypto markets seems to perfectly validate our vision.
Here is a highlight the main news of the week on the BTC/ETH front:
- Bitcoin’s Market Share Falls Below 40% in an Apparent Historical Shift (source):
For the first time since its invention, bitcoin’s market share has fallen below 40%, currently standing at 39.4% as of writing, in an historical first and a strong signal of a potential shift.
- Ethereum Google searches rise above Bitcoin for the first time ever (source):
Ethereum became the most searched for digital currency in the United States yesterday, rising above bitcoin for the first time ever, in a potential sign that a shift may be underway.
- ETH value grew almost 50% in 7 days
The impact for the fund is very positive, as it allows us to reinvest this gains on segments 2 (dynamic) and 3 (ICOs).
BTC 24.22%
ETH 46.30%
XRP 7.49%
LTC 5.58%
DASH 2.53%
WAVES 5.62%
IOTA 2.30%
BNT 3.25%
TKN 1.33%
BCAP 1.38%
Dynamic segment
This week, we introduced IOTA in our portfolio and plan to hold it on the long term, as we believe it has the potential to be one of the pillar of the Internet Of Things economy. From there own definition (source):
IOTA is a revolutionary new transactional settlement and data integrity layer for the Internet of Things. It’s based on a new distributed ledger architecture, the Tangle, which overcomes the inefficiencies of current Blockchain designs and introduces a new way of reaching consensus in a decentralized peer-to-peer system. For the first time ever, through IOTA people can transfer money without any fees. This means that even infinitesimally small nanopayments can be made through IOTA.
Crowdsales — ICO (Initial Coin Offering)
The big ICO this week was of course BANCOR (token BNT), with $153 millions raised on three hours. We think the project has a very good potential, however the ICO itself went too far and should have been stopped before such an amount was reached. The risk now is that BANCOR never delivers enough to justify this huge fundraising.
Coming weeks
Segment 1 (core): We will decrease our ETH exposure and execute frequent rebalancing to ensure we are taking profits and reinvest in undervalued crypto-assets.
Segment 2 (dynamic): We continue exploring this asset class and analyzing several tokens to determine the potential candidates.
Segment 3 (ICO): The two main ICOs to watch are EOS (Epic Operating System, a blockchain operating system ), SONM, a distributed computing platform, and still Tezos at an undisclosed date.
Tools: some of you are already using our simple NAV calculator and we will enrich it soon with the portfolio composition. Follow us and we will keep you posted!
