Grayscale Cuts a DeFi Token From Its Fund as a New One Takes Over

Grayscale Investments has disclosed the new component weightings for its multi-asset funds as part of the Q1 2026 rebalancing.

The asset manager has removed Aerodrome Finance (AERO) entirely from its Decentralized Finance (DeFi) Fund and added Ethena (ENA) at a 13.59% weight.

Grayscale Drops AERO From DeFi Fund, Adds ENA in Q1 Rebalance

According to the press release, Grayscale funded the ENA purchase by selling AERO and other existing components proportionally. 

AERO held a 5.36% weight before its full removal, ending its position in Grayscale’s flagship DeFi product. The altcoin was added during the Q3 2025 rebalancing and replaced MakerDAO (MKR).

“The compositions of DEFG Fund and GSC Fund are evaluated on a quarterly basis to remove existing Fund Components or to include new Fund Components, in accordance with the index methodologies established by the Index Provider. Holdings and weightings of each Fund are subject to change. Investors cannot directly invest in an index,” the asset manager stated.

Follow us on X to get the latest news as it happens 

Meanwhile, Ondo (ONDO) recorded the biggest gain among retained holdings, climbing from 14.10% to 19.83%. Uniswap’s (UNI) dominance shrank during the quarter.

UNI fell from 42.67% to 35.22%, though it remains the fund’s largest single holding. Aave’s (AAVE) weighting also declined, dropping from 26.23% to 21.36%.

Ethereum Reclaims Top Spot in Smart Contract Fund

Grayscale’s Smart Contract Fund (GSC) saw a notable shift between Ethereum (ETH) and Solana (SOL). ETH moved back to the top weighting at 30.14%, edging SOL at 29.69%.

In January, SOL held the top spot at 29.55%, while ETH was at 29.00%. The reversal played out over a single quarter, with ETH gaining roughly 1.14 percentage points.

Other GSC components saw smaller moves. Cardano (ADA) slipped from 18.55% to 17.96%. In contrast, Sui (SUI) lost the most ground, dropping from 8.55% to 7.11%.

Subscribe to our YouTube channel to watch leaders and journalists provide expert insights