Mark Yusko, CEO of Morgan Creek Digital, said in an interview with Thinking Crypto YouTube channel that his stance on XRP and XLM will remain unchanged.
“We exclude anything… that’s too closely held, so we don’t own Stellar and we don’t own XRP,” Yusko said.
Yusko referred to the joint fund – the Morgan Creek Bitwise Digital Asset Index Fund – which he founded in 2018 with Bitwise. The fund monitors the top 10 cryptocurrencies and includes just over 80 percent of Bitcoin (BTC).
Ripple, which holds about 6.5 billion XRP, continues to stir controversy over its position, including the sell-offs made by top executives.
Yusko went on to clarify that the policy imitated the S&P 500—close-held stock opened the door to future market manipulation.
“Tesla, for example, by size would be in the S&P, but it can’t be because it’s too closely held and I can manipulate the price,” he said.
“The same thing is true in crypto — there were two which had too much densely-held tokens and so we feel that those can be… they’re not as freely tradeable as, say, Bitcoin or Ethereum or Dash or Monero.”
Yusko expected most cryptocurrencies, excluding the biggest ones, would go to zero, attributing this bold prediction to the fact that such tokens represent companies with little chance of success.
He applied the term “shitcoins” to “utility tokens,” using the popular rhetoric used by those who focus on as the real breakthrough to emerge from the crypto phenomenon.
The CEO went up to say:
“There’s nothing wrong with utility tokens — or ‘shitcoins’ as they’re affectionately called — there’s nothing wrong with them, it’s just that 99% will go to zero because they’re just pre-seed stage venture capital, which has a very low hit rate.”