The H20 Crypto Full Market Index is a robust benchmark designed to capture the performance of the largest and most liquid cryptocurrencies. It provides investors and analysts with a reliable tool to assess the overall health and trends of the crypto market.
Total Supply
Unlimited, varies with minting and redemption
Price
Fluctuates according to the index algorithm
(see 🟦Index Calculation below for details)
Purchase
Available via Mint or Swap
(see 💰 Purchase Guide below for details)
Fees
Streaming Fee: 0%, Mint Fee: 0%, Redeem Fee: 0%
Maintenance
Rebalancing Frequency: The Market Index Token (H20) follows a regular rebalancing schedule, quarterly, to reflect changes in the market cap rankings of crypto assets.
Index Management: The index is managed by a team of experts who oversee the rebalancing process and ensure the index remains aligned with the top 20 crypto assets.
🥫 Index Methodology
🔵Constituent Selection: The index comprises 20 cryptocurrencies selected based on their circulating market capitalization and 90-day cumulative trading volume. This ensures that the index represents the most significant and actively traded assets in the market.
🔵Weighting: The index employs an adjusted circulating market capitalization weighting scheme. Each constituent's weight is determined by its market capitalization adjusted for factors like circulating supply and trading volume. A single constituent's weight is capped at 25% to prevent over-concentration.
🔵Rebalancing: The index is rebalanced quarterly to reflect changes in market conditions and ensure that it remains representative of the current crypto landscape. The list of constituents and their weights are adjusted based on the latest data.
🔵Base Date and Point: The index has a base date of May 19, 2024, and a base point of 100.
🟦 Index Calculation
The index employs an adjusted circulating market capitalization weighting method. The adjusted market value of the sample cryptocurrencies is used for calculation, and the formula is as follows:
Current Index=Adjusted Market Value of Previous Day ComponentsAdjusted Market Value of Current Components×Previous Day Closing Index
where
Adjusted Market Value of Current Components=∑(Current Price×Circulating Supply×Adjustment Factor)
Adjusted Market Value of Previous Day Components=∑(Previous Day Closing Price×Circulating Supply×Adjustment Factor)
The adjustment factor modifies the weight of larger market cap cryptocurrencies to keep any single cryptocurrency's weight below 25%.
🏟️ Index Review and Adjustment Process
The index constituents and their weights are reviewed and adjusted quarterly. The following steps are involved in this process:
🔵 Identify all eligible cryptocurrencies based on market capitalization and trading volume.
🔵 Select the top 10 cryptocurrencies.
🔵 Include any existing index members ranked within the top 25.
🔵 If there are still open slots, add previously top-20 members now ranked 21-25.
🔵 Fill any remaining slots with non-member cryptocurrencies ranked within the top 20.
The initial value of each H20 Index unit is set at 100 USD. The composition of the index at launch, including constituent cryptocurrencies and their respective quantities per H20 unit, is as follows:
🍻 Eligibility Criteria
To be included in the H20 Crypto Full Market Index, a digital asset must meet the following criteria:
🔵 Not a stablecoin.
🔵 Not a collateralized or derivative asset, nor a forked coin.
🔵 Not under investigation by securities regulators.
🔵 No known security vulnerabilities, and associated protocols/projects must be open source.
🔵 Traded on at least two platforms, with no delisting issues and trading volume on a single platform not exceeding 90% of the total trading volume.
🔵 Listed for at least one year.
🔵 No abnormal situations like website closure, removal from major platforms, trading bans, or social media inactivity.
🔵 No evidence of abnormal price fluctuations or market manipulation.
The H20 Cryptocurrency All-Market Index starts on May 20, 2024, with a base value of 100 points.
H20 is central to Haya Treasury, increasing in total supply based on market usage. It mirrors top cryptocurrencies like BTC and ETH while including popular choices like TON and SOL. Specifically, H20 includes BTC, ETH, BNB, SOL, DOGE, TON, ADA, SHIB, AVAX, TRX, DOT, LINK, NEAR, MATIC, LTC, UNI, RNDR, APT, FIL, and ARB.
Based on 20 mainstream currencies and utilizing 90-day cumulative trading volume data, the H20 Index demonstrates relative stability and strong resistance to market fluctuations. Over time, H20's performance has shown stronger returns compared to BTC.
Aside from serving as a long-term investment vehicle as an on-chain ETF, H20 acts as a circulating currency within the crypto world, representing the value trends of mainstream currencies. Within Haya, H20 can be staked to mint HAI, providing continuous liquidity for the ecosystem.
HAI
HAI, pegged 1:1 to the USD, serves as the stablecoin of the Haya ecosystem, minted by staking H20. It functions as a payment tool across SocialFi, GameFi, derivatives, lending markets, DEXs, and more.
HAYA
HAYA, the governance token of the Haya ecosystem, with a total supply of 500 million tokens, operates under a deflationary mechanism managed by Haya DAO. It serves as the governance, incentive, and gas currency within the ecosystem.
💰 Purchase Guide
Method 1: Purchase via Swap
Purchasing through Swap is the most direct way. The current $H20 contract is deployed on Arbitrum and can be exchanged using assets on the Arbitrum chain such as USDT, USDC, ETH, and WETH.
Select MetaMask or Coinbase Wallet directly, or choose Wallet Connect for other wallets.
Click on Pool and then select Add Liquidity.
Configure a 1:1 ratio of $H20 and ETH trading pairs. You need an equivalent amount of $H20 and $ETH in your wallet. Enter the amount and click "Supply". When you add liquidity, you will receive pool tokens representing your share in the pool. These tokens will automatically earn corresponding fees based on your share and can be redeemed at any time.
Method 4: Participate in Airdrop Events
Although $H20 has just launched, the official team continues to run airdrop events through channels like Twitter and Telegram. Interested parties can participate for a chance to receive $HAYA tokens.
On-Chain Smart Contracts
The current $H20 contract is deployed on Arbitrum smart contracts, enabling exchange with on-chain assets such as USDT, USDC, ETH, and WETH.
Through on-chain transactions, H20 can be exchanged directly into personal wallets to enjoy returns from long-term investments. Additionally, individuals can pair their H20 with ETH in liquidity pools to earn pool transaction fees.
When providing liquidity, users receive pool tokens representing their holdings. These tokens automatically accrue fees based on their share in the pool and can be redeemed at any time.
Stable Yield Lending Platform
Moreover, H20 will offer a stable yield lending platform featuring:
Overcollateralization: Users must overcollateralize H20 assets when borrowing HAI, ensuring controlled risks for the lending platform. This mechanism safeguards platform assets even during significant market fluctuations.
Risk Control: The platform monitors collateral values in real-time. When collateral values drop to certain levels, the system initiates automatic liquidation to secure platform assets. This real-time monitoring and liquidation mechanism significantly reduces lending risks, enhancing platform stability.
Stable Yield: The platform ensures stable income through various sources of fees including transaction fees, liquidation fees, and more. These fees cover operational costs and provide stable returns for investors, enhancing the attractiveness of H20.
Conclusion
H20 not only boasts a fee structure favorable to investors but also ensures long-term benefits and sustainable development through robust risk management and diversified income sources. As the core asset of the Haya ecosystem, H20 not only offers efficient investment tools but also provides liquidity for the ecosystem by staking to mint HAI, driving comprehensive growth within Haya's ecosystem.
