Digital asset manager Grayscale Investments announced major portfolio adjustments after Grayscale Rebalances Q1 2026 investment funds tied to decentralized finance and smart contract platforms. According to its latest quarterly review of the investment products, the company has decided to update the holdings of its Decentralized Finance Fund by including Ethena (ENA) and dropping Aerodrome Finance (AERO).
The company revealed on May 6 that the rebalance followed the CoinDesk DeFi Select Index framework. During the process, Grayscale proportionally sold existing holdings, including AERO, before reallocating capital into ENA. After Grayscale Rebalances Q1 2026 portfolios, Uniswap remained the largest allocation within the DeFi Fund, maintaining a dominant share of the basket.
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Grayscale Rebalances Q1 2026 DeFi Fund Holdings
After making the rebalance changes, Uniswap is still the leading portfolio holding in the DeFi Fund with an allocation of 35.22%. Aave takes 21.36%, while Ondo comes third in the list of holdings with an allocation of 19.83%. ENA, which joins the fund for the first time, comes in fourth with a weighting of 13.59%. Other holdings include Curve DAO (5.27%) and Lido DAO (4.73%).
The fund includes digital assets meeting specific liquidity, custody, and trading requirements. Component weightings are updated daily and published around 4:00 p.m. New York time for investors and market participants.
Smart Contract Fund Maintains Existing Asset Exposure
The Grayscale Smart Contract Fund also went through the process of quarterly rebalance using CoinDesk Smart Contract Platform Select Capped Index guidelines. Unlike the DeFi Fund, the Smart Contract Fund did not add or remove assets. Instead, Grayscale rebalanced existing holdings proportionally using proceeds generated from selling and repurchasing current portfolio components according to their updated market weightings.
After concluding Grayscale Rebalances Q1 2026, Ethereum retains 30.14% weight of the Smart Contract Fund portfolio. The asset Solana follows close behind in second place with a weight of 29.69%. Cardano (ADA) comes third with a 17.96% weighting in the portfolio.
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