Cryptomover, found online at Cryptomover.co, promises to diversify your bitcoin portfolio safely “with minimal time and effort”. Find out how it works today in our review.
What Is Cryptomover?
Cryptomover is designed as a cryptocurrency index fund designed to be superior to alternatives like Smithandcrown and Thetoken.
Cryptomover consists of exchange traded tokens built on top of ERC20 and Stellar Network standards. Cryptomover was designed with a competitive fee structure and transparency in mind. The ultimate goal is to change cryptocurrency investments in the same way “how Vanguard and Blackrock changed the asset management industry the last 20 years” (through the launch of ETFs and similar index funds).
Cryptomover’s flagship product is the Cryptomover10 index. You buy C10 tokens to participate in this index. The index consists of ten digital assets weighted by market cap, rebalanced on a monthly basis on a specific formula.
Tokens for the C10 index go on sale between November and December 2017.
What Problems Does Cryptomover Seek To Solve?
Obviously, Cryptomover isn’t the only firm seeking to create an ETF-like investment vehicle for cryptocurrencies. However, Cryptomover sees certain problems among today’s alternative cryptocurrency funds.
As the Cryptomover whitepaper explains, “We feel the virtual currency space is ripe for a properly designed index and index fund”, and that “prior attempts to design crypto indexes have been flawed and have had serious drawbacks.”
Some of the problems with today’s crypto indexes include:
- The Smithandcrown index only includes technologies based on blockchain data structure, which leaves out key payment protocols like Ripple and Stellar (Cryptomover believes that in the future, banks will use a combination of Ripple-style payments and blockchain-based protocols, so leaving these companies out is a bad idea)
- Thetoken, another popular index fund, has portfolio managers with “too much discretion” and not enough transparency, explains the Cryptomover whitepaper. As an example, more than 50% of Thetoken’s portfolio was liquidated to cash or cash equivalents in a recent market correction; subsequently, the recovery in asset price was largely missed by the fund
- The Satoshi Fund is another long-time blockchain-traded fund; it offers impressive performance and size (currently around $18 million USD). However, Cryptomover’s creators believe the 5% entry and 5% exit fee seem unnecessarily high. The fund is also closed end, which means transfers of value cannot take place privately among users, which limits liquidity for investors.
Ultimately, there are a number of leading investment funds catered to the cryptocurrency world. Cryptomover, however, believes each of the above funds has serious problems. That’s why they believe there’s an opportunity.
How Does The Cryptomover10 Index Work?
Cryptomover’s flagship fund is the Cryptomover10 index, which consists of ten digital assets weighted by market capitalization.
The fund is rebalanced on a monthly basis based on a specific formula (the formula is outlined in the Cryptomover whitepaper).
Overall, the index is designed to allow investors to invest in a diversified basket of altcoins. It gives tracking fund customers broad exposure to popular cryptocurrency technologies without the problems of dealing with ten individual wallets and constantly rebalancing funds.
To test the fund, Cryptomover compared the performance of the fund when rebalancing weekly, bi-weekly, monthly, and quarterly. They found that monthly rebalancing offered the best outcomes: the index performance on the different time frames was almost the same, but more frequent rebalancing led to greater exchange trading fees.
As an investor, you can purchase a C10 token representing a stake in the fund. By holding a single C10 token, you immediately gain exposure to a basket of 10 underlying cryptocurrencies.
The index has a maximum of 25% weightage for each of the 10 digital currencies.
Benefits Of Cryptomover
Cryptomover was built to offer all of the following benefits:
- Rapid Growth: Since inception, CM10 has experienced 500% growth, and managers expect that number to continue rising.
- Diversified Market Exposure: Volatility is a major issue in the world of cryptocurrencies. By diversifying investments among the top 10 cryptocurrencies, you can gain exposure to different markets.
- Low Management Fees: Cryptomover only charges 1 bps (0.01%) as a management fee per day. Their fee claims to be “among the lowest in the prevailing market” while offering professional services.
- Convenience: Investors who purchase the CM10 token enjoy maximum convenience. You hold a liquid CM10 token.
- Transparent: Investors can review the monthly CM10 reports to track their portfolios and market performance. All details will be listed in the reports, and transaction records can be presented to investors upon request. Investors can also use an API to query fund performance, NAV, and total assets under management.
- Independent Auditing: Cryptomover plans to use an independent auditor to verify the amount of assets under management and perform checks on a quarterly basis.
- Top 10 Currencies by Market Cap: Cryptomover’s C10 index currently holds bitcoin, Ethereum, Bitcoin Cash, Ripple, Litecoin, Dash, NEM, Monero, NEO, and Ethereum Classic.
Who’s Behind Cryptomover?
Cryptomover’s C10 fund managers are Gavin Yeung and Neelabh Dixit. Prior to founding Cryptomover, the two worked together in a global investment bank. Both managers “have a significant portion of their wealth” invested in C10.
The company was founded in Q1 2017. It has received funding from Hong Kong Cyberport, which is a subsidiary of Hong Kong’s government. Cryptomover has also received funding from 500 Startups, a Silicon Valley-based venture capital firm.
The Cryptomover Token Sale
The Cryptomover token sale is scheduled for November 15 to December 19. There are five different rounds of the token sale, ranging from a 5% bonus (November 15 to November 24) to a 5% premium (December 15 to December 19).
One C10 accounting token is priced at $1 USD (base rate) during this token sale.
Cryptomover is a cryptocurrency index fund that aims to help investors quickly diversify their bitcoin portfolio in a fast and safe way. The company’s flagship product is the C10 index, which tracks the top 10 cryptocurrencies by market cap in exchange for a small management fee. That fund is rebalanced monthly based on a specific formula.
To learn more about Cryptomover and how the fund aims to differentiate itself from its competitors, visit online today at Cryptomover.co.