What is Index?

What is Cryptocurrency?


How can I passively invest in cryptocurrencies?

Investing in cryptocurrencies can be volatile.  The annualized volatility of Bitcoin, Ethereum and Litecoin is (60%, 120%, 115%).  And these are the big three, the volatility of second tier coins is even higher.  Given the tremendous volatility of digital assets, Cryptomover is proud to introduce the leading index in the cryptocurrency world.

Our award winning CM3 and CM10 indexes allow customers to track the majority of the liquid investable digital asset in a simple and accessible format.  With the indexes, one does not have to hassle with individual wallets and worrying about individual price fluctuations.


What is an index fund?

An index fund is a type of mutual fund with a portfolio constructed to match or track the components of a particular market, such as the Standard & Poor's 500 Index (S&P 500). 


Why do we believe in indexing?

The indexing trend started in the late 1990s when well to do investors found that they were able to generate market returns with very low fees.  


What is the magical method?  

Indexed investing replicates a market, and such funds buy a representative sample of assets in order to come close to replicating a target market.  We believe that should be the method of investing for the cryptocurrencies.  Compared to active investing, where individuals have to pick specific cryptocurrencies to invest in, passive investing in an index fund is a dull and cheap way to invest in a cocktail of cryptocurrencies without having to worry about financial and crypto jargons.

The bottom line is that it is simple to invest in a passive strategy.  What we have done is replicated the traditional finance world and adapted that to the new world of digital assets in our proprietary way.


Why invest in altcoins and not just bitcoin?

Diversification.  We sincerely believe that we don't know which currency will win the digital asset race.  By investing in a basket of currencies, investors benefits by the beauty of diversification.  As certain digital asset technologies become popular, our index weighting will reflect this popularity.


What is an index in digital currencies?

The CM3 is an index which in inception was a basket of three underlying mineable popular digital assets (Bitcoin, Ethereum, Litecoin). August onwards it became a basket of 4 digital assets with the addition of Bitcoin Cash which was born as a result of Bitcoin fork. It is a market-weighted basket of these four digital currencies that would make investing much easier to institutional and DIY investors.  The CM3 is designed to mirror the freely traded currencies on GDAX, the world's most compliant exchange and investible by US investors.

The CM10 is an index composed of the broader digital asset market.  It allows investors to acquire exposure to a wide portion of the liquid digital asset market in an easily investable index.  The CM10 is designed to mirror 85% or more of the investible digital asset market.  


I understand indexing, why use the CM3 or CM10 index?

The learning curve and cost of buying different altcoins in itself is huge.  Especially if one takes into trading cost and security measures needed to hold the individual currencies.  Furthermore, like stocks, it is very difficult to pick winners and sell losers and consistently outperform the broader market.  If you think cryptocurrencies are the future but are unsure which ones will be winners, these indexes may be for you!


Why should we trust your index?

We think by being as transparent as possible (our code to actual index calculation is on Github), we can allay the fear of investing in digital assets.  Integrity and transparency are the two most cherished principles of the founding team.  We have an independent compliance and audit team.  Furthermore, we differ from other leading providers in that our indexes are designed by finance professionals with deep investment knowledge.  We want to be the most technology agnostic, fair, and transparent fund and index provider in the digital asset space.

We follow Principles for Financial Benchmarks.

Please read our compliance statement.


How risky is to invest in CM3 or CM10 index? 

Yes, it is risky.  Especially in cryptocurrencies, returns can be spectacular or horrible.  We think a broad index will allow for diversification which allow DIY and season professionals to hold a representative portion of the digital currency market. 


Should everyone index?

Absolutely not.  In fact, if everyone indexed, the digital capital markets would cease to provide the relatively efficient price discovery needed to fund leading technologies.  If you believe in certain technologies or protocols and can manage the risk of hacks, concentrated investing may be right for you.


Should I index?

This is up to you.  We only suggest that you consider the option.  In the long run, this boring approach can give someone more time for interesting activities and academic research has shown over time and time again that it will leave investors with more money as well.


Why Us?

Our founders have worked at large financial institutions and technology companies.  We think that we are uniquely placed and have the right set of skills.  Check out our bios.


What is your currency selection process?

Our currency selection process allows followers to gain exposure to the most liquid part of the digital asset market.  In general, we believe that digital currencies will be a significant portion of any asset allocation portfolio and that prices will appreciate as the wider population find more use of these assets.


What about rebalancing?

Indexes are rebalanced on a monthly basis to ensure weightings are in line with design goals.  Our indexes are market capitalization weighted.


What about security?

Obviously, we take security very seriously.  The majority of tokens are stored in our proprietary solution.


What currency do you accept?

We accept BTC, BCH, LTC, ETH, ETC


How to stay informed?

Join our mailing list.  Subscribe to our mailing list to get updates and share your thoughts with us.


CM10 Index:

The idea of CM10 index is to create a portfolio of 10 most liquid altcoins giving a more diversified altcoin market exposure. CM10 represents more than 85% of the overall market cap.

Index Criteria-
 - Market Capitalization: Cryptocurrencies having a market cap greater than equal to 250m USD are considered. This filter will change as the market matures.
 - Liquidity: Cryptcurrencies having 24 hour Trading volume more than 1m USD and do not have majority of it driven by two exchanges. 
 - Trading History: The cryptocurrencies eligible for index should have a minimum of 3 month trading history.

Index Inception-
Index is created on Jan 1st 2017. Lets say that for an ith index member the market cap, price & weightage be Mi, Pi & Wi.
Weightage Wi = (Mi)/(∑Mi)
No of units of ith index member = (1000*Wi)/Pi

Index Rebalance-
CM10 index is rebalanced on a monthly basis due to high volatility among the top 10 altcoins. At the start of each month we rebalance the weightings of index members based on their individual market cap. Lets say at the begining of a month the index value is I and for an ith index member the market cap, price & weightage be Mi, Pi & Wi.
Weightage Wi = (Mi)/(∑Mi)
No of units of ith index member = (I*Wi)/Pi 
We have kept a maximum of 25% to 35% weightage for each member in CM10, to add a proper diversification of underlying portfolio. As the market matures and other altcoins grow in market cap, we will amend these minimum value requirements.





Are cryptocurrency markets regulated?

We have divided the major cryptocurrency markets from APAC & Europe, into 3 groups based on the level of regulations-


Hong Kong

United Kingdom

Digital currencies such as bitcoin are not regulated by Australian Securities and Investments Commission under the Corporations Act. This means that the business does not need to hold an AFS licence to provide its wallet.



The Financial Services Commission of South Korean formed a taskforce last year to study possible regulatory frameworks for digital currencies. On 3 July 2017, Park Yong-jin, the representative of the ruling Democratic Party of Korea, released three revisions for the proposed legal framework.

The EU drafted a law to identify Bitcoin users in March 2017.

Last year the Monetary Authority of Singapore (MAS) developed a regulatory framework for virtual currencies . On 21 June 2017, the MAS was considering AML guidelines for the bitcoin industry.



Virtual currency is defined by the following criteria:
(i) property of value,
(ii) usable for payment to unspecified persons,
(iii) purchasable from and sellable to unspecified persons and
(iv) transferable by electronic processing devices

Virtual currency exchange services are defined by the following criteria:
(i)the sale, purchase, or exchange of virtual currencies.
(ii)intermediary, agency or delegation services in relations to the act of (i).
(iii)management of customers money or virtual currency in connect with the acts of (i) or (ii).

Virtual currency exchange services providers must meet certain registration requirements and register:
(i) must be a stock company
(ii)have a specific asset base
(iii)have an internal organisation sufficient to pursue its business appropriately and accurately.

However, the following is yet to be classified:
-whether or not the sending of a virtual currency constitutes a “funds transfer business”, which is regulated, and whether or not virtual currency transactions are taxable.

Exchanges and price information is banned.




Disclaimer: Cryptomover is not a licensed financial advisor. The information presented in this piece is an opinion, and is not purported to be fact. Cryptocurrency is a volatile virtual commodity and can move quickly in any direction. Cryptomover is not responsible for any loss incurred by following this advice.


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