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BC8
OBC8 · Strategy

Blue Chip 8

T1RetiredS 1.18
Reference net asset value
4,250.00usd

Calibrated launch value from the rulebook. This basket carries no order panel today.

Family
Strategy
Risk profile
Conservative
Holdings
8
Weighting
Market cap, 30% cap
Rebalance
Not published
Sharpe grade
1.18
The thesis

Why this basket exists

What the construction is trying to capture, who it is built for, and how it is meant to be sized inside a wider allocation.

Blue Chip 8 is the institutional default. Eight liquid majors capped at 30% per name, weighted by market cap. The constituent list overlaps OCI6 with two additions (AVAX, LINK) and tighter governance: every name has a multi-year trading history and clears a deep daily-volume floor.

  • Strict eligibility: multi-year track record minimum
  • White-label-friendly: weights documented each cycle, factsheet quarterly

Written by the OLTA investment committee for this basket.

How it is meant to be used
Built forAsset managers building crypto-native funds. White-label distribution candidates.
Typical sizing50 to 70% of a crypto sleeve
Weighting ruleMarket cap, 30% cap
Risk tierConservative
Composition

8 holdings, drawn to scale

Each tile's area is its weight in the basket, so the picture and the table below it are the same data read two ways.

Weight by area
8 holdings
BTC · 30% of the basketBTC30%ETH · 22% of the basketETH22%SOL · 13% of the basketSOL13%BNB · 10% of the basketBNB10%XRP · 8% of the basketXRP8%ADA · 7% of the basketADA7%AVAX · 5% of the basketAVAX5%LINK · 5% of the basketLINK5%
Largest holding
BTC 30.0%
The single name that moves net asset value most.
Top three
65.0%
Share of the basket held by its three largest names.
Effective holdings
5.51
Equal weight equivalent of 8 named positions.
Published weights
largest first
Published weights for all 8 holdings, largest first.
HoldingShareWeight
01BTC30%
02ETH22%
03SOL13%
04BNB10%
05XRP8%
06ADA7%
07AVAX5%
08LINK5%
Total100%
Holdings

Why each name earned its seat

Research notes per constituent: the case for the asset, the regime that suits it, and the risk the seat carries.

  • BTC30%Core anchor

    Bitcoin is the only crypto asset that clears the institutional bar on every dimension: deepest order books, longest track record, lowest custody friction.

    Strongest in flight-to-quality and pro-risk macro phases when liquidity is abundant. Underperforms in altcoin rotations and AI-narrative cycles.

    concentration risk
  • ETH22%Core anchor

    Ethereum is the only smart-contract platform with the TVL, developer mindshare, and settlement depth to count as core infrastructure.

    Outperforms BTC in DeFi cycles and L2 adoption waves. Lags when narratives shift to alt-L1s or when L2 fragmentation eats into mainnet fee capture.

    fee-revenue regime risk
  • SOL13%Growth

    Solana is the highest-throughput smart-contract platform in production and the credible challenger to Ethereum at the application layer.

    Highest beta of the L1 majors. Outperforms in retail-led risk-on phases. Drawdowns sharper than BTC in flight-to-quality regimes.

    historical outagesvalidator concentration
  • BNB10%Core anchor

    BNB captures the cash flow of the largest centralized crypto exchange. Quarterly burn-and-buy gives it the cleanest token-to-revenue link of any major.

    Tracks Binance volume more than crypto beta. Faces regulatory tail risk when Binance is under enforcement scrutiny.

    regulatory tail riskexchange concentration
  • XRP8%Core anchor

    XRP is the payments-rail asset that retained its market position through the SEC litigation period and the 2024 settlement.

    Outperforms when payments-narrative or banking-partnership news drives flow. Underperforms in DeFi or smart-contract-led cycles.

    narrative dependencecentralized issuance
Show the remaining 3 holdings
  • ADA7%Core anchor

    Cardano sits in the basket for persistent top-ten market-cap status and a research-driven engineering culture that allocators recognise.

    Tracks broader crypto beta. Has lagged in 2024 to 2026 as DeFi capital concentrated on ETH and SOL.

    TVL trails peersslow shipping cadence
  • AVAX5%Growth

    Avalanche is the highest-quality EVM-compatible alt-L1 by liquidity and institutional integration. The subnet architecture appeals to enterprise pilots.

    Performs in enterprise-adoption and alt-L1 rotation phases. Underperforms in flight-to-quality and meme-led cycles.

    subnet fragmentation
  • LINK5%Infrastructure

    Chainlink is the dominant oracle network and the only institutional-grade middleware token in the catalogue. CCIP makes it the de facto oracle layer for tokenized assets.

    Performs in oracle-narrative phases and RWA cycles. Underperforms in pure-crypto retail rotations where infrastructure is unfashionable.

    middleware competition
The record

What the numbers say

Simulated on historical constituent prices. A Sharpe is only published once the measured window clears 90 days, and drawdowns keep their sign.

Backtested record
2072 day window
Sharpe grade
1.18Strong
Measured over 2072 days against a bitcoin reference of 0.33.
Total return
+1956.3%
Across the full window, simulated.
Max drawdown
−79.5%
Deepest peak to trough. 418 days to recover.
Annualised volatility
59.4%
Standard deviation of daily returns, annualised.
Beta vs bitcoin
1.07
Correlation 0.87.
Effective holdings
5.51
Of 8 named. Equal weight equivalent, from the published weights.
Simulated rebalance
Quarterly
Backtest assumption, not a published cadence.
Jensen alpha
+10.9%
Excess over what beta to bitcoin alone explains.
R squared
0.75
Share of the basket's moves bitcoin explains.
Bitcoin reference · Sharpe 0.33 · max drawdown −76.6%
OCBE100 reference · Sharpe 0.34 · max drawdown −61.1%

Every figure above is simulated on historical constituent prices for a basket that has not traded. It describes how the rules would have behaved, not how they will behave. OBC8 is part of a public preview.

Loss tail
95% VaR · loss tailhistorical
1-week · 7d−13%
1-month · 30d−27%

Max expected loss over the horizon · 95% confidence · historical distribution. There is a 5% chance the actual loss is larger.

Across timeframes
vs bitcoin
Simulated return for this basket over five windows, with a Sharpe and a comparison with bitcoin wherever the window is long enough to publish one.
WindowReturnSharpevs BTC
Full window+1956.3%1.18+0.31
1 year−32.3%−0.69+0.14
6 months−28.8%−1.07−0.39
3 months+12.8%1.65−1.75
1 month−2.2%Not graded·

Returns are simulated over each window. A Sharpe is published only once that window clears 90 days, so the shorter rows read Not graded and carry no comparison with bitcoin. Short windows flatter and punish at random; read the full window first and treat the rest as texture.

Risk

What could go wrong

Priced off this basket's own weights rather than off a generic disclaimer, so every figure below can be checked against the table above.

Backwards-looking eligibility means new strong entrants take time to qualify (a token that 10x'd in months still has to clear the full track-record bar).

Structural flags
2 on this basket
  • Top-name weightLow

    BTC is the largest position at 30%. Capped by methodology but still drives index direction.

  • Deep historical drawdownHigh

    Max drawdown reached −80% in the backtest window. Size accordingly.

If it goes wrong
effect on net asset value
4 downside scenarios for this basket, and the loss each one would put on net asset value.
ScenarioLoss on net asset value
BTC loses half its valueLargest holding, 30.0% of the basket−15.0%Mechanical
The three largest holdings fall 30%BTC, ETH, SOL · 65.0% of the basket together−19.5%Mechanical
The deepest simulated fall repeatsRecorded once in the window, 418 days to recover−79.5%Recorded
A bad month, one in twenty95% historical value at risk over 30 days−26.7%Measured

The mechanical rows hold every other holding still, which is the optimistic case. This basket measured 0.87 correlation to bitcoin over its window, so its holdings tend to fall together rather than one at a time. Read the figures as a floor on the damage, never a ceiling.

Further reading

The research behind the construction

This strategy has been shelved

Construction overlaps OCI10 by more than 80% of effective weight, and the 30% Bitcoin cap is the only structural differentiator. Allocators looking for a conservative large-cap basket are better served by the methodology-consistent OCI10. We retire OBC8 to keep the catalogue free of near-duplicates.

Retired 2026-05-24