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Announcing WMX, the William Mougayar High Growth Cryptoassets Index
Today, I’m announcing the start of a project that has been a long time in the making: the William Mougayar High Growth Cryptoassets Index, based on the ICONOMI platform, with a symbol: WMX.
My experience with tracking stocks and constructing indexes dates back to the Internet days when I created the B2Index in 1998, and it was the highest performing Internet index at the time.
For nostalgia sake, I digged-up an old headline and snippets from the press release, dated November 16 1998:
“Business 2.0 Unveils the B2Index to Track Stock Performance of Publicly Traded Net-Ebusinesses; With a Performance of 214% for the Year, B2Index Outperforms All Other Internet Indexes
The B2Index has outperformed the Dow Jones Industrial Average, Nasdaq Composite, and S&P 500 since its inception. As of the week ending Nov. 13, the two components of the B2Index were up 159.96% and 213.97% for the year, as compared to a 96.63% increase in the ISDEX and a 63.78% increase in the IIX, respectively.
The B2index is comprised of two parts: the B2Index-p and B2Index-m, each one offering different views on market data. The B2Index-p is a price-weighed index, based on $100 equally invested in each stock, and similar to the construction of the Dow Jones average. The B2Index-m, a market capitalization index, mirrors the construction of the Nasdaq Composite. With each beginning on Dec. 31, 1997 at 100, the B2Index-p closed at 259.96, up 159.96%, and the B2Index-m closed at 313.97, up 213.97%, as of Nov. 13, 1998. The B2Index, along with key valuation data for 39 ebusiness companies, will appear each month in Business 2.0 and is updated weekly online on the last day of trading for the week.”
That index did very well, and outperformed all others for 2 years in a row. The only problem is that it was a paper index. You couldn’t trade it. The listings barriers were too high at the time. 19 years later, I get my revenge and a chance to manage a tradable cryptocurrency index.
In this case, I’ve constructed a basket of 15 cryptocurrencies with a variety of weighting for each one of them. This composition will be revised continuously and may change on a monthly basis. The choice of tokens was limited to what’s available on Iconomi. There were some that I wanted to add, but they are not yet supported yet. As new tokens become available, they might make their way into the WMX index which will be re-balanced accordingly
You can also read about this announcement on CoinDesk, on the ICONOMI blog, and via the official press release.
This announcement and its related social media appearances do not constitute or form part of, and should not be construed as, any offer for sale or subscription of, or any invitation to offer to buy or subscribe for, any securities, nor is investment advice or counsel or solicitation for investment. Full terms of use and disclaimer are published on iconomi.net. William Mougayar is an advisor to Steem, Cofound.it and was a previous advisor to the Ethereum Foundation. This index is not available to residents of Canada or the United States.
Thanks for sharing William!
Hey William, congrats on this initiative. I think this is a great way to leverage your insight into the cryptocurrency market, but I’m wondering how you maintain your independence, objectiveness and manage the potential conflicts of interest given your close relationship with some of the currencies?
Thanks Paul.
I’m just picking choices I like regardless of the type of relationship I may have. The market does what it wants. I just want the index to benefit really.
Strange that per my attempt to sign up US citizens are excluded.
Besides that, nicely done!
Hi William, thanks for sharing. While i think experts doing review and selection of assets should be compensated (and compensated well), 5% is steep. Especially when one promise of crypto is to lower fees. Any comment on that?
Also, any way for you to be transparent overtime in your selection / rebalancing? Such as criterion used? etc.?
Sounds good for my sons.
William, please advise the steps necessary to become your client. I’m very new to all of this and hardly know the first step. I DO have some Bitcoin, but from there I need detailed information. Thank you, Donal
Sadly…US and Canadians are excluded for now, due to OSC (Ontario Securities Commission) and SEC stances.
Hope that will change soon! I’m working on the OSC part.
5% is a flat fee and there is no 20% carry. I realize there is a premium here, but it’s based on what I think my value is.
I’m going to try and write monthly reports. Thank you for this feedback btw.
You just need to register on Iconomi and buy into the index whatever amount you’d like.
https://www.iconomi.net/dashboard/#/daa/wmx
gotcha.
How did you determine the weightings of these? How did Nexium get such a heavy weighting?
Fellow crypto enthusiasts… you may want to check out Bitwise’s Hold10 (https://www.bitwiseinvestments.com) and Crypto20 (https://crypto20.com) C20 token as an index … looks like there are 3 groups doing very similar things. It’ll be interesting to see who’s model works best…they are all slightly different and potentially address different sectors of the market. Good news for the world of crypto !
Nice! Is the fee 5%/year?
Hello:
Just one question, how can I invest in your “WMX” investment fund?
Is that when I enter “Iconomi.net” I do not know what else I should do after registering.
Receive greetings:
Ana
Hi William. This VMX fund seems to be a good thing. I have been watching for a week now and the return is -12% so far, how do you explain this ? It seems some of the others funds are also negativ, what is your 6Months/1 Year target ?
Hi William, any updates here for Canada?