A great step by Huobi Pro: Huobi unveils Huobi 10 index

On 23rd of May 2018, Huobi Pro unveiled “Huobi 10 Index”. Huobi 10 Index will be composed of 10 coins of the large scale and good circulation that are listed on Huobi Pro (www.huobi.pro).

For people who don’t understand the Index concept, it’s a measurement of a section of the cryptocurrency market. It is computed from the prices of selected cryptocurrency (typically a weighted average) based on numerous factors such as market capitalization or trading volume. It is a tool used by investors and financial analysist to describe the market, and to compare the return on specific investments.

So how do Huobi Calculate the “Huobi 10” index?

We all know how much volatile cryptocurrencies are, and thus the “top 10” must be computed much more frequently than, say, the constituents of the S&P 500. On this basis, Huobi 10 Index is calculated by the formula of Pasche weighted composite price index, with the average daily trading volume of the previous quarter taken as a core index of sample selection.  The daily average data can reduce the impact of single-day price volatility and better reflect the liquidity of digital assets during the audit period. In addition, this index will determine the proportion of index components of different types of blockchain assets according to the sum of the average daily trading volume of each type of blockchain assets in the previous quarter, so as to comprehensively reflect the overall performance of blockchain assets listed on Huobi and reflect the overall development of all kinds of blockchain technology applications. To read more about Huobi 10 index calculation you can visit( https://www.huobi.pro/word/Huobi10.pdf)

The below given are the top 10 assets Huobi has selected to formulated it Huobi 10 index    

I feel that this is just the first step of Huobi to enter a new market segment of Fund Management. Its been learned that in the month of June we can expect more products from Huobi stable like Crypto ETF , Cryptocurrency Index Fund etc  

For most people, it’s not feasible to spend the time needed to do thorough research on which exchanges to trust, which coins to buy, and how to allocate your portfolio etc. In future you can expect Huobi Pro to do all these jobs for you.  I feel this will be a game changer as we don’t have much products and services based on this concept. I am keeping a close eye and will be the first one to update you regarding this type of products in future   

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