Index Cooperative, the decentralized autonomous organization (DAO) behind tokens like the DeFi Pulse Index, has partnered with another DAO, Bankless, to launch a new crypto token called the BED index.
According to Index Coop, BED and other crypto indexes offer an easy way for crypto newcomers to get diversified exposure to different assets in a way that is simple and transparent.
As decentralization becomes a bigger theme in crypto, DAOs are gaining momentum. They are collections of people and entities on the internet who band together to run a leaderless organization. They are essentially companies for a decentralized world.
And in the case of the BED index, what they are offering is a traditional finance product – an index – for the nontraditional crypto markets.
Bankless DAO devised the methodology for the BED index, and will be responsible for monthly rebalancing as needed.
The BED index will be represented by a fully collateralized ERC-20 token and will be available for purchase on Uniswap v3, Index Coop and TokenSets.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.