CF Benchmarks Launches Institutional-Standard GameFi Index, as Play-to-Earn Sector Shines

The launch of the CF Meta Lab GameFi Index is the first step in the process of creating potential investment products, like funds, trusts and ETFs, that offer exposure to GameFi for investors in Hong Kong and the wider APAC region.

CF Benchmarks Launches Institutional-Standard GameFi Index, as Play-to-Earn Sector Shines

The CF Meta Lab GameFi Index paves the way for a new class of financial products that will provide institutional investors with exposure to the world of digital content

GameFi now has an index

CF Benchmarks announces the launch of the CF Meta Lab GameFi Index, a portfolio index designed to capture the return performance of GameFi, one of the fastest-growing and most resilient sectors of the blockchain economy, whose platforms are also referred to as Play-to-Earn protocols.

The CF Meta Lab GameFi Index has been developed in partnership with Meta Lab (Hong Kong), which is backed by Harvest Global Investments, one of China's longest-established, licensed investment management firms, with $121B in AuM.

GameFi growth

Despite a partial retrenchment of the blockchain economy since late 2022, GameFi protocols as a proportion of video gaming have continued to grow. GameFi dominance rose to 46% in Q1 of 2023, from 43% in Q4 of 2022, according to DappRadar, with unique active wallets participating in GameFi remaining strong at around 44%.

First investible GameFi index

The CF Meta Lab GameFi Index is a liquid, investible benchmark portfolio index that tracks the return performance of tokens linked to the Web 3.0 Gaming segment, and blockchain gaming protocols. Projects in the GameFi space create in-game economies that directly remunerate players for the time and effort dedicated to their favorite games.

The CF Meta Lab GameFi Index is the first instrument to emerge from CF Benchmarks' new partnership with Meta Lab. Our joint goal is the creation of a range of high-quality indices within the CF Meta Lab Series, addressing various aspects of the blockchain economy.

The launch of the CF Meta Lab GameFi Index is the first step in the process of creating potential investment products, like funds, trusts and ETFs, that offer exposure to GameFi for  investors in Hong Kong and the wider APAC region.

“Investors increasingly want exposure to specific areas that are being disrupted by crypto and blockchain,” said Sui Chung, CEO of CF Benchmarks. “The launch of  indices, like the CF Meta Lab GameFi Index, can facilitate the creation of an exciting new range of financial products that provide investors with thematic exposure to different sub sectors of the crypto ecosystem.”

“As tokenization moves out of the infant stage, we see the need for a broader range of investment solutions to expand the asset management industry,” said Flora Lou, Chief Product Officer at Meta Lab.

Methodology

The CF Meta Lab GameFi Index adheres to the CF Multi Asset Ground Rules and comprises tokens linked to gaming protocols, services and settlement blockchains – the three components that enable the Web 3.0 GamFi space to operate today.

The index comes in two variants, the CF Meta Lab GameFi Index (Modified Market Cap Weight) - London - Settlement Price, published once a day at 16:00 London Time, and the CF Meta Lab GameFi Index (Modified Market Cap Weight) - London - Spot Rate, published once a second. The index will be reconstituted and rebalanced on a quarterly basis.

The index is comprised of three distinct sub-portfolios of fixed weight representing the components of blockchain architecture required to deliver decentralized gaming products & services.

These sub-portfolios represent decentralized applications (dApps) via Gaming protocols, Services, and Settlement Blockchains. Digital assets are classified in accordance with the CF Digital Asset Classification Structure (DACS) for sub-portfolio eligibility.

Digital assets are weighted by a capped free float market capitalization within each sub-portfolio in accordance with the CF Multi Asset Series Ground Rules and the index methodology.

The CF Meta Lab GameFi Index is calculated and administered by CF Benchmarks.

About Meta Lab

Meta Lab is dedicated to the development of comprehensive Fintech solutions that help institutions adopt digital assets and empower investors in the growing digital universe with simple and secure access. We aim to bridge the gap between the traditional and digital financial worlds by leveraging our extensive expertise in both fields, while adhering to evolving regulatory frameworks. Meta Lab is endorsed by Harvest Digital Assets and Harvest Global Investments. The company is headquartered in Hong Kong.  

Product Disclaimer

The CF Meta Lab GameFi Index is not subject to the UK Benchmarks Regulation, and may not adhere to the regulatory standards and requirements set forth by the UK Financial Conduct Authority (FCA) for benchmark administrators. The benchmark’s methodologies, data sources and governance mechanisms may differ from those prescribed under the UK Benchmarks Regulation. 

Visit the CF Meta Lab GameFi Index page

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell any of the underlying instruments cited including but not limited to cryptoassets, financial instruments or any instruments that reference any index provided by CF Benchmarks Ltd. This communication is not intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. Please contact your financial adviser or professional before making an investment decision.