What’s an Index?

In traditional finance, an index is a collection of assets grouped to represent a market segment, such as the S&P 500 for stocks. Indexes provide a clearer view of market trends and reduce risk through diversification.

Our Indices

Our indices are designed for crypto hobbyists, amateur traders, seasoned investors, and institutional funds, each with specific goals:

  • Market Tracking & Benchmarking:
    Follow market segments to identify trends clearly and quickly.
  • Discover New Assets:
    Exploring indices is an effective way to find emerging assets and projects.
  • Investment Strategies:
    Leverage indices to build data-driven diversification strategies, helping reduce risks and optimize returns.

Indexes Attributes

Distribution

Distribution defines how assets within an index are weighted. The weighting method impacts an index’s performance and risk profile.

Current distribution types include:

  • Market Caps:

    Indexes that weight assets based on their market capitalization — ideal for tracking overall market trends and identifying dominant players.

  • Custom Weights:

    Indexes with manually assigned weights per asset — useful for thematic exposure, strategy-driven portfolios, or emphasizing niche sectors regardless of size.

Categories

Indexy assigns each asset to tailored categories, allowing indices to focus on specific segments or combine multiple categories.

Current categories include:

  • DeFi
  • AI
  • Memecoins
  • Real World Assets (RWA)
  • Art
  • NFTs
  • Infrastructure
  • Social
  • Games

Blockchains

Indexy tracks assets across multiple blockchains (L1s and L2s). Our indices can include assets from different blockchains simultaneously.

Assets

Indices can track fungible tokens and, soon, other asset types like NFTs, apps, and off-chain assets.

  • Fungible Tokens
  • Non-Fungible Tokens: (Coming Soon)
  • Apps: (Coming Soon)
  • Off-chain Assets: (Coming Soon)

Index Management

Index management determines how assets within an index are adjusted over time, directly influencing the index’s performance, risk, and accuracy in tracking market segments.

Regular rebalancing is crucial. It ensures the index reflects market dynamics by adjusting asset allocations, maintaining diversification, and controlling risk exposure.

Current management strategies include:

Manual

Assets are periodically reviewed and adjusted by the index owner (Indexy or third parties).

AI-powered Management (Coming Soon)

Assets and weightings are automatically adjusted using AI-driven analytics to optimize performance.

KPIs

Our KPIs measure index performance through advanced calculations. Unlike basic metrics such as market cap or volume, KPIs have unique characteristics ideal for comparisons and informed decision-making.

KPI Attributes

Composability

KPIs combine multiple metrics to provide robust indicators not easily found in standard blockchain analytics platforms.

Weighted Importance

Each metric is assigned an importance level based on the specific KPI’s goal.

Time-Based

KPIs reflect performance over various periods (1 week, 1 month, 3 months, 6 months, or 1 year).

Normalized Scores

KPIs are normalized into a single, easy-to-understand score (0 to 10), simplifying comparisons and impact analysis.

Our KPIs

vs. Bitcoin Strength

Measures how an index performs compared to Bitcoin over a given period. A positive score indicates the index is outperforming Bitcoin, providing insight into relative strength and market sentiment.

Mindshare (Coming Soon)

Evaluates the popularity and social relevance of an index by combining metrics such as trading volume, social media mentions, and community engagement.

All-Time High (ATH)

Measures the current price performance of the index against its historical maximum value. This indicates how far an index is trading from its peak.

Volatility

Measures price stability or fluctuations of an index within a set period. Lower volatility suggests stability, while higher volatility indicates potential risks or rewards.