The trial-run of the Indexed Finance Index Competition is over!
To recap: starting on May 18th, 38 beta participants started a — very passive — race between their selections of various assets and weightings to see how many people could outperform the market over the course of four weeks.
Congratulations to our winners: if you’re reading this in the future, we’d like to remind you that these were the best performers:
Since Lito is part of the core team of Indexed Finance, he’ll be donating his 1,000 DAI prize to a charity of his choice.
A few interesting tidbits about asset choices and average performances throughout:
- The average index performance was -38.27%. Over the same period, DEFI5 dropped -36.8%, ETH dropped -21.3% and BTC dropped -7.2%. The average participant would have been better suited just holding DEFI5, everyone barring those on the podium lost out to ETH, and all of us would have been better parking in BTC.
- The only assets that were selected in the contest that ended up positive were HEX (82%), XEQ (57%), CREAM (22%) and NDX (22%).
- Of all of the assets that were chosen, a fair few cropped up several times. ETH is king, followed by SUSHI and then several native tokens. We ran the competition, so there’ll have been an obvious bias in the number of times NDX was chosen. In order of number of appearances:
So, lessons learned?
Well, for our part: don’t launch an index competition a day before a crash.
It’s interesting to see what assets people chose, and imagine that — even though this competition was with play-money — they’re the assets that the participants held at the time of entry anyway, so we hope that you’re all okay!
This article is being released at the same time as the announcement of the second round of the Index Competition (now featuring socks as prizes!), where we’ll be asking participants to put together a slightly more constrained index. We’ll be opening it up to a much wider pool of participants this time around, and look forward to seeing how it goes. We’re in a crab market, right?
Good luck, and thanks to everyone that helped us in this round!