The index token uses an indexing approach that may be subject to errors in data, methodology and/or assumptions, which could negatively impact the value of the index token.
The index token is designed to track the top 50 crypto assets by market cap and enable broad-based exposure to the entire crypto asset category with a single ERC-20 token. A complete look at index token asset exclusion and inclusion criteria can be found in the Normal documentation
. By receiving exposure to the index token, you receive exposure to the underlying 50 assets (currently only 18) that are tracked by the index. The index token exclusion and inclusion criteria is based on various inputs which may include price data from various third-party exchanges and markets as well as supply data. These inputs may be subject to technological error, manipulative activity, or fraudulent reporting from their initial source. The index is based on a flexible set of rules, and includes certain assumptions that may be flawed and/or may adversely impact the index's ability to accurately establish or maintain an index of top cryptocurrencies. The failure of one or more of the assumptions built into the index methodology could have an adverse effect on the index token and its corresponding value.