According to Lookonchain data, Gibraltar-based fund Sigil has exited BLUR, one of the best-performing tokens this week, in favor of Lido DAO’s LDO and its native token, IMX, Immutable .
Sigil Fund sells BLUR for IMX and LDO
On November 24, Lookonchain, a cryptocurrency analysis platform, famous Sigil sold 1.55 million BLUR for 807,799 IMX (equivalent to approximately $1.14 million) and 210,905 LDO for $540,000 at the spot exchange rate. The exchange took place over multiple transactions and took place on-chain.
The replacement takes place approximately three days after Sigil. withdrew 3.1 BLUR of cryptocurrency exchange OKX. Surprisingly, the fund is exiting BLUR when the token has dominated performance over the past few days.
To quantify, the token has more than doubled this week alone, surging to its second-half 2023 high above $0.60. BLUR is already up 330% from its 2023 lows and continues to rise with increasing trading volume.
The Gibraltar-based cryptocurrency investment fund’s switch from BLUR to the core governance token of Lido DAO and Immutable But it was not immediately clear what prompted the fund to be advised to exit. BLUR for LDO and IMX (rather than simply taking your current vehicle).
In retrospect, these changes may underpin the resilience and unique growth prospects of decentralized finance (DeFi). Circulating funds into DeFi tokens may mean focusing on supporting the building of a decentralized ecosystem rather than speculative NFT mania, as is the case with BLUR, which is currently rising rapidly thanks to its Season 2 airdrop.
LDO and IMX are at the core of DeFi and NFTs
As of November 2023, Lido DAO and Immutable X are some of the key platforms driving cryptocurrency and DeFi. Lido DAO plays an important role in Ethereum staking, while Immutable X provides a secure NFT trading infrastructure. Sigil’s allocation change is an endorsement of DeFi, although recent concerns from other CeFi actors such as FTX and FTX’s partner Alameda Research continue to see an upward trend.
It is not immediately clear whether LDO and IMX prices will rise in the future. It’s maintaining an upward trend for now, but it’s generally more volatile and doesn’t spike like BLUR does. The token is up 80% from its October 2023 low at press time. Meanwhile, looking at the price action on the daily chart, IMX is extending its gains from 2023 highs.
Featured image from Canva, chart from TradingView