If you want to invest in specific crypto segments but lack the time and skills to create a balanced and smart crypto portfolio, you’re in the right place. In this guide, we will explain the benefit of investing holistically in Real World Assets (RWA), Artificial Intelligence (AI), and Memes tokens through crypto index funds, using the Trakx platform while ensuring sound risk management and automatic rebalancing.
Real-World Assets (RWA), Artificial Intelligence (AI), and Memes Tokens are Trendy
The crypto market is continuously evolving, and some crypto segments may offer more interesting opportunities over a certain time period. In 2024, the main trendy assets in cryptocurrencies are Real-World Assets (RWA), Artificial Intelligence (AI), and Memes tokens. These specific crypto segments’ growth is fueled by the increasing interest and trust in tokenization, AI technologies applied to the blockchain, and memes’ virality. RWA, AI, and Memes cryptocurrencies might offer better opportunities than other segments during 2024, but it’s not easy to DYOR and find the best crypto gems in these sectors. Additionally, rebalancing the portfolio might be challenging if you rely on manual trades, using various wallets and blockchains, decreasing your trading efficiency. However, Trakx is the solution, allowing you to invest in the top RWA, AI, and Memes cryptocurrencies through advanced crypto baskets, ensuring sound risk management, easy, effective diversification, and more.
How to Invest Holistically in RWA, AI, and Memes Cryptocurrencies with Trakx
Trakx is the leading platform for crypto index trading and provides customized crypto baskets, named Crypto Tradable Indices, that allow for easy diversification, sound risk management, institutional-grade investing strategies, and automatic rebalancing. Additionally, unlike ETFs, they are tradable 24/7. Trakx offers the widest selection of crypto index funds, allowing users to focus on specific market segments, such as RWA, AI, Memes, DePin, DeFi, and more, but how do these advanced crypto index funds work?
Real World Assets (RWA) Crypto Tradable Index
Trakx Real World Assets (RWA) Crypto Tradable Index is a crypto basket composed of digital tokens backed by tangible, physical assets, such as real estate, commodities, bonds, or even intellectual property. Tokenization is the next big thing, and investors can gain exposure to the benefits of traditional investments within the blockchain ecosystem. This fusion of the physical and digital worlds brings additional layers of stability, value, and trust to the volatile crypto market.
The RWA Crypto Tradable Index is equally weighted and rebalanced monthly based on predefined parameters. It comprises 10 tokens (10% each): Mantra DAO, Avalanche, Maker, Reserve Rights Token, Chainlink Token, OriginTrail, XinFin, Quant, Synthetix Network, and Pendle.
Artificial Intelligence (AI) Crypto Tradable Index
Trakx provides an AI Crypto Index that offers holistic exposure to the AI’s most promising tokens with a single click. Based on market capitalization and volume, the crypto index includes the most traded and trending AI crypto tokens. These cryptocurrencies utilize AI for various purposes, including improving blockchain efficiency, creating smart contracts, and enhancing security protocols.
In detail, the Trakx AI Crypto Index is composed of 5 cryptocurrencies with equal weighting (20% each), which are Near, Fetch.ai, The Graph, Golem, and Render Token. The crypto index fund is rebalanced monthly by Trakx’s proprietary algorithms to stay ahead of market trends.
Memes Crypto Tradable Index
Memecoins are trendy, and are becoming a cultural phenomenon. Due to their volatility and speculative focus, it’s difficult to manually rebalance memecoins and stay ahead of market trends. With the Memes Crypto Tradable Index, you can invest holistically in the whole memecoins sector, decreasing the risks of the collapse of a single cryptocurrency, while seizing the opportunities of this growing crypto segment.
Are memecoins here to stay? Probably yes, even if many of them have no clear utility, their price and adoption are driven by community support, cultural appeal, and the virality of the assets. Currently, the Trakx Memes Crypto Index is equal-weighted, composed of 7 tokens with an allocation of 14.3% each one: Pepe, Dogecoin, Dogwifhat, Bonk, Shiba Inu, Memecoin, and Floki.
Benefits of Investing with Thematic Crypto Index Funds
Potential for Generating Alpha
Investing in advanced crypto indices can offer opportunities for generating alpha, outperforming broader market benchmarks. By focusing on specific, high-potential segments of the crypto market, such as RWA, AI, or memes, you may achieve returns that exceed those of major cryptocurrencies like Bitcoin.
Diversification
Trakx offers a range of crypto indices that cover various market segments, such as Real-World Assets (RWA), Artificial Intelligence (AI), and Meme cryptocurrencies. Investing in these crypto index funds allows you to diversify your portfolio across different types of digital assets, reducing risk and enhancing potential returns.
Simplified Investment
Trakx simplifies the process of investing in cryptocurrencies by providing pre-curated indices. This eliminates the need for individual asset selection and constant monitoring, making it easier for both novice and experienced investors to gain exposure to specific market segments.
Automatic Rebalancing
The platform features automatic rebalancing of your investments. This ensures that your portfolio remains aligned with your desired risk profile and adapts to changing market conditions without requiring active management on your part.
Manage Risk Efficiently
With Trakx’s automatic rebalancing and risk management features, you can maintain a balanced portfolio and minimize exposure to overbought risky assets.
Access to Emerging Trends
Trakx’s indices include a selection of high-potential cryptocurrencies, allowing you to capitalize on emerging trends and innovative technologies. Whether it’s AI-driven assets or viral meme-based cryptocurrencies, you can stay ahead of market developments.
Liquidity
Trakx indices are designed to ensure liquidity and are backed 1:1 with the underlying assets, allowing you to buy and sell investments 24/7. This flexibility is a significant advantage over traditional investment assets like stocks or real estate.
By investing in crypto indices through Trakx, you gain access to a streamlined, diversified, and institutional-grade investment approach, enabling you to capitalize on various segments of the cryptocurrency market with ease. Join Trakx to set new standards for crypto trading.
