Abra introduces a multi-sig wallet contract that tracks the price of the Bitwise10 Index ,An index comprised of the top10 crypto currencies by marketcap that re-balances monthly.
How it works:
- Bitwise has an index, that tracks the top 10 cryptocurrencies by marketcap and rebalances them monthly.
- Abra licences the index, creates a “synthetic asset” (multi-sig wallet) based on the Bitwise Index.
- People who buy the index get the BIt10 token representing their exposure to this wallet.
- It is an easy way to gain exposure to an index.
- Abra says because its not a fund and is non-custodial, it does not need SEC approval for this product.
- There is no clarity on what the token actually is and what users are buying.