DigitalX(ASX:DCC) outperforms S&P crypto index over February


  • DigitalX (DCC) reports a 7.6 per cent increase in its Bitcoin fund and a 7.3 per cent increase in its DigitalX fund over the month of February
  • In its monthly update on its digital asset exposure, the fund manager said the S&P Cryptocurrency Top 10 Equal Weight Index rose 3.2 per cent
  • The company cited its “overweight” holdings in Bitcoin and Etherium as the main reason it outperformed the S&P index
  • DCC CEO Lisa Wade says the company is pleased that crypto markets appear to be forming a base, although it still expects some volatility in the sector
  • DigitalX shares are down 2.63 per cent and trading at 3.7 cents at 2:09 pm AEDT

DigitalX (DCC) has reported a 7.6 per cent increase in its Bitcoin fund and a 7.3 per cent increase in its DigitalX fund over the month of February.

For reference, the fund manager said the S&P Cryptocurrency Top 10 Equal Weight Index rose 3.2 per cent — meaning according to its monthly update on its digital asset exposure, the company outperformed the index.

The company cited its “overweight” holdings in Bitcoin and Etherium as the main reason it outperformed the S&P index.

DigitalX said the performance of both of its funds reflected a positive price movement of digital assets.

However, the fund manager said it also saw increased volatility within the market over February as investors were unsure how long the interest rate hike cycle would continue.

US data indicates that unemployment, rising retail sales, and higher non-farm employment have caused markets to raise interest rates, which restrict the movement of digital assets within the market.

DCC Chief Executive Officer Lisa Wade said the company was pleased that crypto markets were forming a base.

“We are encouraged by the level of transformation that is taking place in what we describe as the transition to Web3 financial guardrails,” Ms Wade said.

“Our core themes for 2023, including real-world asset tokenisation, decentralised data (along with scaling protocols -zero-knowledge rollups and zero-knowledge Ethereum Virtual Machine compatibility), digital identity and new financial infrastructure, are gaining momentum.”

DCC is currently commercialising its first regtech solution, which will support listed companies in managing compliance and corporate governance policies, to safeguard reputations.

DigitalX shares were down 2.63 per cent and trading at 3.7 cents at 2:09 pm AEDT.


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