OUR Mission
The Digital Currency Index Coin gives you direct access to the Top 30 Digital Currencies evaluated by their market cap and project scope to ensure you’re diversified for long term market sustainability.
Digital Currency Index
Our Allocation Process – Genetic Algorithm
Our process is to simulate millions of possible future single-year market prices, based on the historic volatility and correlation of returns using the last 1 year of data. We factor in a penalty for the newest coins that have less history and a chance of going to zero using a scoring function based on quantitative and qualitative features.
Within the simulation we can report maximum days of loss, expected return, expect 95th percentile return/loss and the expected sharp ratio. More importantly, within this simulation, we perform an optimization using a genetic algorithm to develop an optimal portfolio. After each simulation, we rebalance the portfolio by up-weighting top performing assets and down-weighting poor performing assets until we create an optimal portfolio of 30 coins across all future scenarios in terms of both minimizing volatility and maximizing return.
MEET THE TEAM
Meet the team behind the Digital Currency Index
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Digital Currency Index in the News
