Cassiopea
Latest update: Dec 2025
Inflation Hedge
A rules-based inflation hedge combining Bitcoin (BTC), gold (GCY00) and silver (SIY00), designed to provide disciplined exposure to inflation-sensitive assets across market cycles.
Return since inception
+283.93%
1Y return
+60.89%
Annualized return
+27.65%
Annualized volatility
24.71%
Max. drawdown
-36.52%
Index sharpe ratio
1.11
Info
Risk profile: Moderate
Assets: BTC, XAU, XAG
Index launch: 2024-04-15 (internal launch)
Rebalancing period: Monthly
Rebalancing rules: Systematic
Overview & rationale
Cassiopea is a rules-based strategy designed to protect capital during inflationary and macro-uncertain environments. By combining Bitcoin with traditional hard assets, it is a defensive strategy designed to preserve value across inflationary cycles with low correlation, rules-based allocation.
| ASSET | TICKER | WEIGHT | MARKET CAP | TYPE |
|---|---|---|---|---|
| Bitcoin | BTC | 35% | $1.75 trillion | Crypto |
| Gold | GCY00 | 35% | $30.37 trillion | Commodity |
| Silver | SIY00 | 30% | $3.79 trillion | Commodity |
Methodology overview
Cassiopea is built using a rules-based allocation framework designed to provide diversified inflation-sensitive exposure across digital and physical hard assets.
The index combines Bitcoin (BTC), gold (GCY00) and silver (SIY00) within a predefined universe selected for liquidity, scarcity characteristics and relevance across inflationary and macro-uncertain environments.
All allocation decisions follow a systematic process aimed at preserving consistency, discipline and transparency across market cycles.
Asset selection framework
The index universe is intentionally limited to assets that historically exhibit sensitivity to inflationary dynamics and monetary expansion.
– Bitcoin (BTC) is included as a digitally native scarce asset with asymmetric return potential and independence from traditional monetary systems.
– Gold (GCY00) serves as a long-established store of value with defensive properties across inflationary regimes.
– Silver (SIY00) complements gold exposure while introducing higher cyclicality and sensitivity to industrial and monetary demand.
Allocation logic
Cassiopea applies a predefined allocation framework that determines target weights within explicit constraints.
Allocations are reviewed periodically and adjusted in a controlled manner to reflect evolving market conditions, while maintaining the strategic objective of inflation hedging rather than short-term tactical positioning.
The framework is designed to avoid excessive turnover and mechanical reactions to short-term market noise.
Rebalancing framework
The index is reviewed and rebalanced on a monthly basis.
Rebalancing is conducted through a systematic process that evaluates current allocations relative to predefined targets and constraints.
Adjustments are implemented exclusively within scheduled rebalancing windows and the index does not engage in intramonth trading activity.
The objective of rebalancing is to preserve the intended risk profile and allocation structure over time, rather than to maximize short-term performance.
Correlation & risk management
Cassiopea actively accounts for changes in cross-asset correlation and volatility dynamics.
The rebalancing framework is designed to reduce the risk of unintended concentration during periods in which diversification benefits may temporarily weaken, such as during market stress or regime shifts.
By managing allocation intensity within predefined limits, the index seeks to mitigate drawdowns and avoid mechanically reinforcing adverse market movements.
Governance & oversight
While Cassiopea follows a rules-based methodology, the index incorporates a governance layer to address exceptional market conditions.
This framework allows for the temporary suspension or adjustment of specific rebalancing actions when market dislocations, data integrity issues or extraordinary events could compromise the integrity of the index.
All governance actions are applied within predefined limits and are intended to protect the long-term objectives of the index rather than alter its strategic design.
Risk profile
Cassiopea is designed with a moderate risk profile.
The inclusion of Bitcoin introduces higher volatility relative to traditional assets, while exposure to gold and silver contributes defensive and diversification characteristics.
As with all market-based strategies, the index is subject to market risk, drawdowns and periods of underperformance.
The index is not intended as a capital-protected product and may experience significant fluctuations during adverse market conditions.
What Cassiopea is – and is not
Cassiopea is:
– A rules-based inflation hedge framework
– A diversified hard-asset index
– Designed for medium- to long-term allocation
Cassiopea is designed for:
– Institutional allocators and professional investors
– Fintech platforms
– Independent financial advisors
FAQ
What is Cassiopea designed to achieve?
Cassiopea is designed as a rules-based inflation hedge, combining Bitcoin (BTC), gold (GCY00) and silver (SIY00) to preserve purchasing power and diversify across macro regimes where traditional portfolios may be exposed to inflation shocks.
Why combine BTC with gold and silver?
The mix is intentional: Bitcoin provides a digitally native scarcity component, while gold offers historically defensive properties and silver adds additional inflation sensitivity with higher cyclicality. Together, the basket aims to balance asymmetric upside potential with hard-asset stability.
What happens if one component dominates performance for a long period?
The framework is designed to prevent unintended concentration by periodically realigning exposures toward the intended allocation structure, subject to constraints. This helps maintain the index’s objective rather than turning it into a single-asset proxy.
Is the strategy easy to replicate if allocations are visible?
Public weights alone do not represent the full methodology. The index’s value lies in the systematic framework, risk controls, correlation handling and governance process that determine how allocations evolve through time within constraints, elements that are not fully captured by a static snapshot.
Do you guarantee performance or outcomes?
No. Past performance, simulated results, or illustrative data are not indicative of future results. All indices and strategies are subject to market risk, and no guarantee is made regarding performance, returns, or risk mitigation.
Is Tungstenum a regulated financial advisor or asset manager?
Not at this time. Tungstenum does not currently operate as a regulated investment advisor, broker, or asset manager, and we do not provide personalized investment advice or discretionary portfolio management. We are actively working toward a future regulated setup to support broader institutional use cases. Until then, Tungstenum focuses on research, index methodology design, and analytical frameworks provided for informational, benchmarking, and professional product structuring purposes only. For further details, please refer to our Regulatory Disclaimer.
Are you open to media, academic, or speaking requests?
Yes. For media, academic, or speaking engagements, please specify the topic, audience, and context so the request can be reviewed appropriately.
Disclaimer
This page is provided for informational purposes only and is not intended as, and must not be construed as, investment advice, a personal recommendation, research, or an offer or solicitation to buy, sell, subscribe for, or transact in any financial instrument or to adopt any investment strategy. Any decision to invest should be made solely on the basis of an investor’s own assessment and, where appropriate, professional advice.
Cassiopea is a rules-based index designed to measure the performance of a defined basket of assets. It is not an investable product and does not represent interests in any fund, security, derivative or managed account. Exposure to the index (if available through third-party products) may involve fees, costs, tracking differences and additional risks that are not reflected in the index performance figures.
Index values and performance may be volatile and are subject to market risk. Digital assets and commodities may experience significant price fluctuations, liquidity constraints, regulatory changes, market disruptions and operational risks. Past performance is not indicative of future results and no assurance is given that the index will achieve its stated objective, provide inflation protection, preserve capital or reduce drawdowns in all market conditions.
By accessing and using this page, you acknowledge and agree that information may be subject to change without notice and may contain estimates or assumptions. For additional information, please refer to our Terms of Service and Regulatory Disclaimer.
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