What is a Basket?

Baskets represent asset management strategies. A strategy consists of a group of tokens encapsulated in a Basket token contract. This allows users to directly buy the Basket tokens in order to be exposed to all the underlying assets represented by the Basket tokens.

Baskets are managed without the manual intervention of their holders. From time-to-time and depending on the market conditions, rebalancing of the underlying assets will happen in order to respect the Basket strategy.

Rebalancing is the process of realigning the weightings of a portfolio of assets. Rebalancing involves periodically buying or selling underlying assets in a basket to maintain an original or desired level of asset allocation or risk.

Before you buy Basket tokens, make sure that you understand its strategy, expected yield, and associated risks.