Robustness Index (RIX) Digital Asset Array token
KEY FACTS
| Inception Date | 2018-08-01 |
| Asset class | Cryptocurrencies |
| Benchmark | Rindex :: Robustness Index |
| Strategy | Rules-based/Passively Managed |
| Weighting | Robustness-weighted |
| Rebalance Frequency | Biweekly |
| Number of Holdings | 8 |
TRADING DETAILS
| Ticker | RIX |
| Structure | Digital Asset Array |
| Exchange Platform | ICONOMI |
| Manager | PDB Capital |
| Investments accepted in | USD, EUR, BTC, ETH |
CONSENSUS PROTOCOL WEIGHT %
| Proof-of-Work (PoW) | 100.00 |
The Robustness Index Fund (RIX) is a DAA token whose value tracks and mirrors the combined financial performance of the major cryptocurrencies. The currencies are weighted by their relative security or robustness.
The relative security of the cryptocurrencies (basically, their network size and hence ability to withstand a 51% attack) which RIX mirrors, tracked by the underlying index, and benchmark, ‘Rindex :: Robustness Index’.
The Rindex :: Robustness Index, is a blockchain cryptocurrency robustness and attack-resistance-weighted Index. Primarily comprised of cryptocurrencies that use Proof-of-Work (PoW) protocol as a consensus algorithm to secure the public distributed ledger, the weight of constituents are measured by their distributed network size, explicit as computational power (Network Hashrate), cryptographic primitives robustness and consensus attack resistance. Together these all express to the ‘cost of a 51% attack’.
KEY FEATURES
- Stronger absolute and risk-adjusted returns relative to market-cap indices.
- Covers 95% of PoW and 70% of the entire crypto-asset market.
- Broad exposure to crypto-assets dynamically weights security-risk factors.
- Rebalanced and reconstituted bi-weekly.
- Instant redemption 24/7.
RINDEX RATIONALE
In the crypto-assets universe, it all boils down to one word, ‘Security’. So many factors are important for cryptocurrency adoption, price and value-in-exchange such as the cryptographic algorithm, system features, and functionalities, which can all add or subtract value in accordance with participants’ perception of a project. However, out of all internal and external factors, ‘Security’ remains at the core, with substantially greater value, if not the greatest. Arguably all other factors relative values (and subsequently the price) will diminish and approach zero if a crypto-asset security is jeopardized for an extended period. Measuring the system robustness and how it is secured against vulnerabilities such as the ‘double spending attack’ and others shall be the genesis block of any valuation framework and investment strategy approach to crypto-assets.
Robustness Index tracks the combined financial performance of the major cryptocurrencies. The components of Rindex are weighted by their blockchain robustness and ability to withstand a consensus attack.
FAQ
SIMPLICITY & COST-EFFECTIVENESS
Sure, you can directly purchase Bitcoin, Ethereum and other cryptos proportionally according to RINDEX, you then form your own cryptocurrency basket that tracks RINDEX while getting exposure to the crypto market based on the security of each blockchain. Furthermore, individuals and institutions seeking to invest directly in cryptocurrencies must themselves open multiple accounts with several exchanges, go through a learning curve to understand the fundamentals of each cryptocurrency and bear the burden of keeping their private keys secure (private keys, allows the possession of your digital assets), which often leads to loss or theft and potentially exposes your crypto assets to partial or total loss. Additionally, you will need to regularly rebalance your 'basket' by selling those cryptocurrencies which show signs of security weakness on their network and by buying other ones in which their blockchain has become more secure and robust over time.
While investing in the Robustness Index fund token (RIX), you can overcome the challenges of purchasing, rebalancing and safeguarding these cryptos, passing these tasks on to ICONOMI, PDB Capital and RINDEX.io, while maintaining your exposure to the price performance of the crypto asset market by executing only one trade.
CUSTODIAN & SAFEGUARD
As the managers we do not receive, hold, transfer or come into possession of your funds and/or your digital assets at any time.
Your funds,in which you deposit to purchase the Robustness Index DAA token (RIX) used instantly to acquire the underlying cryptocurrencies of RIX token, the outrights of these cryptos are safeguarded by a robust security system of ICONOMI 'the Custodian', which uses cutting-edge, industry-leading, security standards.
These Digital assets are permanently stored in multi-signature cold storage wallets (in similar fashion to physical bank vaults) and the solvency of the custodian regularly audited by a Big Four accounting firm (previously with Deloitte¹) and the balance of these wallets can be observed and verified² online utilizing the Merkle tree approach.
PASSIVELY MANAGED & RULES-BASED
RIX track the Rindex :: The Cryptocurrencies Robustness Index, reconstituted and rebalanced biweekly with a standard deviation of 1% over the last 30 days average, the selection criteria are:
• Open-Source PoW cryptocurrency coin
• Uses known well-tested cryptographic primitives
• Constituents market cap of ≥0.20% of Total Market Cap
• Free floating price and actively Traded in ≥5 exchanges
• Hardforks are considered using same selection criterias
Invest in ‘Secure’ cryptocurrencies
by identifying, combining and dynamically weighting each constituent by their blockchain network computational power, robustness and 51% attack resistance factor. we aim to achieve superior risk-adjusted return relative to single-currency holding or market-capitalization weighted indexGlossary
Crypto Assets are a class of digital assets recorded on a distributed ledger ‘Often open, public and permission-less’. Digital Assets are the foundation of the new economy. They represent stakes (tokens) in service like prediction markets, micropayments, smart contracts, remittance, games, distributed computing, and others. From an investment perspective, tokens and cryptocurrencies constitute an entirely new asset class.
DAAs Digital Asset Array, a cryptographic token solution developed by ICONOMI operates on the Ethereum public blockchain, include various combinations of digital assets. Arrays can consist of any number of underlying digital assets, cryptocurrencies or tokens ex. BTC, ETH, LTC, XMR or 0x
DAA Managers are advisors regarding the construction, rebalancing and other characteristics of DAAs.
PoW as a consensus mechanism -algorithm-, enables trustless agreement among the participants (nodes/miners) on the state and the data being proposed to update the distributed ledger. Miners compete against each other to produce a piece of data that requires a not-insignificant but feasible amount of computational power (hashing power), and yet are easy for others to verify, in order to complete transactions on the network and get rewarded, PoW is the original consensus algorithm in Bitcoin the core of the entire blockchain revolution
51% attack - consensus attack when a miners (pools, or cartel) controlling 50% or more of the hashing power -which secure the consensus- by causing a double-spending transactions, preventing transactions from being confirmed, reversing recent transactions sent, or execute denial-of-service attacks against specific transactions or addresses including other miners or pools.
Hardforks are changes to the protocol code to create a new version of the blockchain, alongside the old version. A permanent divergence, commonly occurs when non-upgraded nodes can’t validate blocks created by upgraded nodes that follow newer consensus rules. this also potentially creates new coins, from a financial reporting perspective hard fork new coins can be likened to a spin-off.
Market-capitalization weighted (or Cap-Weighted, Market-value-Weighted). The weight of each constituent will be assigned based on its market capitalization relative to the market capitalization of all constituents in the index.