[ HODL Protocol ] Resources
  • HODL 101
    • What is Momentum
      • Use Cases for Momentum
      • How Momentum works
    • What are SmoothCoins
      • Use Cases for SmoothCoins
      • How SmoothCoins Work
  • Using the HODL app
    • Introduction
    • Graphs
    • Trade Box
    • Positions
    • Transaction History
    • Metrics
    • Leaderboard and Quests
  • Video Tutorial
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  • 1. We define the Target Volatility
  • 2. We calculate the “Actual Volatility”
  • 3. We rebalance the portfolio between the asset and cash
  1. HODL 101
  2. What are SmoothCoins

How SmoothCoins Work

PreviousUse Cases for SmoothCoinsNextUsing the HODL app

Last updated 3 months ago

Behind SmoothCoins, we use a concept called “Volatility Scaling”. We will convert a volatile asset into one with a “constant” volatility so to help you be in control of your risk. We will rebalance between your asset of choice and cash into 3 simple steps.

1. We define the Target Volatility

2. We calculate the “Actual Volatility”

3. We rebalance the portfolio between the asset and cash