Key Takeaways
- • EasyEquities, owned by JSE-listed Purple Capital, announced a majority stake acquisition in DCX Capital, Michael Jordaan's cryptocurrency investment venture co-founded with Earle Loxton, formalizing an existing distribution partnership.
- • The EC10 Index (formerly DCX10), a market-capitalization-weighted crypto index holding the top 10 cryptocurrencies, has attracted 20,000 users since June 2019, with Bitcoin representing approximately 75% of the fund's composition.
- • The EC10 operates as a tokenized fund structure similar to an ETF or unit trust but trades as a blockchain token rather than on a traditional exchange, differentiating it from competitors like Revix's equally-weighted Top 10 bundle.
- • The partnership enables DCX Capital to expand its institutional offering beyond retail platforms, with plans to license its crypto exposure solutions to corporate entities and financial institutions seeking diversified cryptocurrency exposure.
- • Michael Jordaan's crypto and fintech portfolio includes VALR (crypto exchange), DCX Capital, Rain, Bank Zero, and NMRQL (algorithmic trading fund), demonstrating a concentrated bet on digital asset and alternative finance infrastructure in South Africa.
Summary
EasyEquities, the retail investment platform owned by JSE-listed Purple Capital, has formalized its cryptocurrency expansion by acquiring a majority stake in DCX Capital, the crypto-focused fund manager founded by former FNB CEO Michael Jordaan and entrepreneur Earle Loxton. The transaction, announced in October 2020, crystallizes a partnership that began when EasyEquities customers gained access to DCX's flagship crypto investment product on the platform.
The centerpiece of this partnership is the EC10 Index (rebranded from DCX10), a market-capitalization-weighted basket of the top 10 cryptocurrencies structured as a tokenized fund. Unlike traditional ETFs, the EC10 operates as a blockchain-based token and does not trade on a conventional exchange. The index's weighting methodology differs materially from competitors: Bitcoin comprises nearly 75% of the EC10's composition due to its market-cap dominance, while the remaining nine cryptocurrencies constitute the balance. This contrasts with alternatives like Revix's Top 10 bundle, which employs equal 10% weighting across all holdings.
The EC10 has demonstrated significant retail traction, accumulating 20,000 users since its June 2019 launch—a notable adoption rate for a specialized cryptocurrency investment product in the South African market. According to DCX Capital co-founder Earle Loxton, the EasyEquities acquisition provides the capital and operational infrastructure necessary to scale beyond retail distribution. The partnership enables DCX to develop internal systems and resources to license its crypto investment products to institutional clients and corporate entities seeking exposure to digital assets.
Jordaan's involvement in cryptocurrency and fintech extends across multiple ventures. Beyond DCX Capital, he has backed VALR, a cryptocurrency exchange, and maintains positions in Rain, Bank Zero, and NMRQL, an algorithmic trading fund. This portfolio reflects a systematic thesis on the South African digital finance ecosystem during a period of emerging institutional interest in cryptocurrency asset classes.
The centerpiece of this partnership is the EC10 Index (rebranded from DCX10), a market-capitalization-weighted basket of the top 10 cryptocurrencies structured as a tokenized fund. Unlike traditional ETFs, the EC10 operates as a blockchain-based token and does not trade on a conventional exchange. The index's weighting methodology differs materially from competitors: Bitcoin comprises nearly 75% of the EC10's composition due to its market-cap dominance, while the remaining nine cryptocurrencies constitute the balance. This contrasts with alternatives like Revix's Top 10 bundle, which employs equal 10% weighting across all holdings.
The EC10 has demonstrated significant retail traction, accumulating 20,000 users since its June 2019 launch—a notable adoption rate for a specialized cryptocurrency investment product in the South African market. According to DCX Capital co-founder Earle Loxton, the EasyEquities acquisition provides the capital and operational infrastructure necessary to scale beyond retail distribution. The partnership enables DCX to develop internal systems and resources to license its crypto investment products to institutional clients and corporate entities seeking exposure to digital assets.
Jordaan's involvement in cryptocurrency and fintech extends across multiple ventures. Beyond DCX Capital, he has backed VALR, a cryptocurrency exchange, and maintains positions in Rain, Bank Zero, and NMRQL, an algorithmic trading fund. This portfolio reflects a systematic thesis on the South African digital finance ecosystem during a period of emerging institutional interest in cryptocurrency asset classes.
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