DeFi Pulse Index
Dollar cost average across a handpicked selection of top DeFi protocol tokens.
MATIC sent to an Amasa account which has setup Swap to DeFi Pulse Index in Auto Allocation, automatically enters a set of smart contracts and is swapped to DPI via Uniswap v3 in sequence.
MATIC/wETH pair > wETH/DPI pair.
The percentage of MATIC swapped to DPI will match the set percentage chosen by the account holder in their Auto Allocation.
As part of the same transaction executed by the smart contracts, the wallet address connected using Metamask to setup the Amasa account will be issued with arDPI tokens. These function similarly to LP tokens as a record of ownership over funds within the contract. In a user-actioned withdrawal transaction,
User’s arDPI tokens are sent back to the Amasa smart contract and burned
User receives DPI (or MATIC if selected from the dropdown option) into their connected wallet.
Users can independently confirm and track all transactions on the Ethereum blockchain.
Risk Disclosure
The DeFi space is not without risk. It is highly recommended to do your own research and only supply assets you can afford to lose. Read Risk Disclosure
What is DPI DeFi Pulse Index token?
The DeFi Pulse Index (DPI), created by Index Coop, is a single token consisting of a basket of underlying tokens. It is a capitalization-weighted index that tracks the performance of some of the largest protocols in the decentralized finance (DeFi) space. The index is weighted based on the value of each token’s circulating supply. The DeFi Pulse Index aims to track projects in DeFi that have significant usage and show a commitment to ongoing maintenance and development.
Index Coop builds simple yet powerful tokens which help people access a range of complex crypto strategies. They offer a broad variety of tokens to individuals and institutions – covering index strategies, leveraged strategies and yield strategies too. All Index Coop tokens are easy-to-understand, secure and cost efficient – for crypto natives and newbies, institutions and retail. The DeFi Pulse Index is implemented using TokenSets on Ethereum mainnet
The DeFi Pulse Index methodology weights tokens in the index according to their market cap based on circulating supply. Index constituents are capped at a 25% max allocation to avoid over-concentration. Any excess weight above 25% that would have been allocated to the token is redistributed to the remaining components of the DeFi Pulse Index on a proportional basis. Current token weightings in the Index are available here
Underlying Tokens
Token Inclusion Criteria:
The DeFi Pulse Index considers a wide range of characteristics that can be placed in four dimensions. Two dimensions are used to evaluate the token’s characteristics, one dimension is used to assess the project’s characteristics, and one is used to evaluate the protocol’s characteristics. The inclusion criteria are the basis to select what tokens will be included in the index.
Token’s Descriptive Characteristics:
The token must be available on the Ethereum blockchain. The token must not be considered a security by the corresponding authorities across different jurisdictions. The token must be a bearer instrument. None of the following will be included in the index: Wrapped tokens, Tokenized derivatives, Synthetic assets, Tokens that are tied to physical assets, Tokens that represent claims on other tokens.
Token’s Supply Characteristics:
It must be possible to reasonably predict the token’s supply over the next five years. At least 7.5% of the five year supply must be currently circulating. The token’s economics must not have locking, minting or other patterns that would significantly disadvantage passive holders.
Project’s Traction Characteristics:
The project must be widely considered to be building a useful protocol or product. Projects focused on competitive trading/holding, having Ponzi characteristics, or projects that exist primarily for entertainment, will not be included. The project’s protocol must have significant usage. The protocol or product must have been launched at least 180 days before being able to qualify to be included in the index. The protocol or project must not be insolvent.
Protocol’s User Safety Characteristics:
Security professionals must have reviewed the protocol to determine that security best practices have been followed to maintain user assets safe under different circumstances. Alternatively, the protocol must have been operating long enough to create a consensus about its safety in the decentralized finance community. In the event of a safety incident, the team must have responded promptly and addressed the incident responsibly in the aftermath, providing users of the protocol with a reliable solution and the decentralized finance community with adequate documentation to provide transparency about the incident. The selected tokens must have sufficient liquidity across a variety of trading platforms.
Maintenance
The index is maintained quarterly (in January, April, July, and October) in two phases: Determination Phase. The determination phase takes place during the third week of the rebalancing month. It is the phase when the changes needed for the next reconstitution are determined.
Circulating Supply Determination:
The DeFi Pulse Index currently references CoinGecko’s circulating supply number. The Circulating Supply is also determined during the final week of the quarter and published before the reconstitution.
Additions and deletions:
The tokens being added and deleted from the index calculation are determined during the last week of the quarter and published before the reconstitution.
Reconstitution Phase:
The index components are adjusted, added and deleted as per the instructions published after the end of the determination phase. New index weights, additions and deletions are incorporated into the index during the monthly reconstitution, which will take place on the first business day of the month. As assets tracked by the index grow, the reconstitution window will expand to more than one day to lower the reconstitution’s market impact.
What are arDPI tokens?
Amasa uses Amasa Record (ar) tokens which function like Liquidity Pool ( LP ) tokens as a record of ownership over funds within Amasa smart contracts.
Currently these are the following arTokens used in the Amasa smart contracts.
arUSDC ( USDC )
arUSDT ( USDT )
arWBTC ( WBTC )
arwstETH ( Liquid staked wrapped ETH on Lido )
arDPI ( DPI )
arMVI ( MVI )
How long do I have to keep funds in my account?
There are no restrictions or lockup time periods on any user funds in accounts. If there are funds in your account they can be withdrawn at any time.
Who holds my funds?
All user funds are non-custodial and securely stored in the Amasa smart contracts on Polygon, a Layer2 network on the Ethereum blockchain. Only a connected wallet which holds arTokens ( Amasa Record Tokens ) is able to withdraw funds from the Amasa smart contracts. Only the value of the arTokens held by the user can be withdrawn.
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