Grayscale Gives BNB 30.6% in Smart Contract Fund, Tops Ether and Solana

Grayscale added BNB to its Smart Contract Fund during its second-quarter review, giving the token a larger weighting than ether and solana. The asset manager also reduced exposure to Uniswap and NEAR across two other diversified crypto products.

As of Aug. 3, BNB accounted for 30.6% of the fund. Ether followed at 29.47%, while solana represented 29.15%. The remaining allocation was spread across cardano, hedera, avalanche and sui. Each held less than 5% of the portfolio.

Grayscale also reduced the amount of uniswap held by its Decentralized Finance Fund. Even after the sale, UNI remained the product’s largest asset, with a 34.16% weighting.

Ondo ranked second at 25.44%, followed by Aave at 19.97%. Ethena represented 12.19%, while curve and lido DAO made up the smallest positions.

The rebalance suggests Grayscale is keeping uniswap at the center of its DeFi strategy while reducing the portfolio’s dependence on a single token. The fund used the proceeds from its UNI sale to increase its other existing positions in line with their respective allocations.

Grayscale made a similar adjustment to its Decentralized AI Fund, selling part of its NEAR Protocol position and directing the proceeds into the other assets already held by the fund.

NEAR still retained the largest weighting at 31.35%. Bittensor followed closely at 29.15%, while Render accounted for 21.59%. Filecoin represented the remaining 17.91%. The changes leave the AI fund more evenly distributed, although NEAR and Bittensor still make up more than 60% of the portfolio.

Grayscale said its DeFi and Smart Contract funds do not generate income. Both products periodically sell or distribute portions of their holdings to cover operating expenses. As a result, the amount of crypto represented by each share gradually declines over time.