How to quickly check the crypto market condition before making an investment decision

crypto price index

The crypto market isn’t what it used to be. Today we have large funds investing in crypto, thorough analyses from top investment companies, and various tools for tracking the performance of your investments with ease. Now it’s time for crypto indexes. Indexes allow you to grasp the bigger picture of what’s happening at the moment in the market, determining the trend. One of these indexes is the Crypto Price Index (CPI), containing the top 200 cryptocurrencies, and below you can read the interview with its founder and CEO, Herbert Law

Today we are meeting the team behind Crypto Price Index (CPI) – professionals in tracking the cryptocurrency market. Hello! Before we get into details, can you tell us what a market index is and what it’s used for?  

CPI is set to become the main indicator or representative of the crypto market condition. Our index is calculated using the top 200 coins, and it’s the most accurate representation of the capitalization of the most active crypto projects. 

If I’m an ordinary investor, not a sophisticated hedge fund manager, how can tracking an index help me? 

At first glance, the CPI index can give me a quick market condition, so I can make a decision: should I buy, sell, hold, or wait on the sidelines? This kind of information can help anyone, whether you’re an ordinary investor or the manager of a large fund. 

What kind of information am I getting from the CPI Index? 

You’re getting almost live updates driven from our proprietary high-tech API index reporter – a special algo chipset. On the market, the faster you get the information, the more money you can make. 

How does your CPI Index blockchain work? 

CPI Coin is starting out as an ERC20 token using the ETH blockchain. Later, we will convert it with a 1-to-1 token swap to our proprietary one, including super-fast transaction speeds on our private blockchain. Currently, it’s not necessary to handle a bigger network load, but over time our own blockchain will allow us to onboard as many users as possible. 

How is it different from all other coins? 

We are the first to focus on indexing such a broad spectrum of crypto indices. It doesn’t compete with them, because all other coins are part of a different strategy.

Why did you choose the top 200 coins instead of the top 100, or even the top 10, as many other companies choose to? 

Our goal is to index a very broad spectrum of crypto. The top 100 doesn’t cover all active projects, but the top 200 coins certainly covers all of them. By investing in the CPI Index, you can get exposure to all of these projects. 

crypto price index
In the photograph (from left) Herbert Law Founder & CEO, His Highness Sheikh Abdullah Bin Rashed Al Sharqi and His Excellency Khalfan Saeed Khalfan Al Mazrouei

Can you explain the advantages of using blockchain instead of an ordinary SQL database in your business case? 

Blockchain is better because of its high accuracy, audibility, and decentralization. You can always check it and verify that everything is stored accurately on the ledger. By using it, it will be possible to conduct a big data analysis of price movement and patterns as well as find trends in the market.

What additional value does your coin give to your index? What benefits does it give to investors? 

CPI will offer a stable platform for coins that take the average index price and spread out your coverage risk exposure over many tokens as opposed to putting it all in one coin. CPI will also be involved in other terms and conditions that will benefit the CPI coin, and buying it allows holders to participate in the market growth without the headache of choosing the right coin. 

Can your index be used without buying the coin? 

Yes, it can be used as a quick reference to the crypto market condition. We aim to make it a standard for checking crypto prices. Currently, you go to coinmarketcap.com to check them. And we aren’t saying it’s bad, but we want to create something more advanced. 

You’re offering an API. How easy is it for other services to integrate with your CPI Index?

That’s correct. We will have a special application program interface (API) extension to provide a solution for index pricing. We will be offering information for other companies so they can connect through our data port subscription and use our data for their own needs. 

Will you allow CPI Coin to be listed on the exchanges? What exchanges are following the regulatory requirements?

Yes. I don’t want to point fingers, but it’s obvious that the main players are fully regulated. We’re still thinking about the list of exchanges, so we can’t name them yet. 

Do you believe that the CPI Index can become a standard in referencing crypto prices? 

Yes, this is my vision in the future for the CPI in the crypto world, just as the DOW is to the Nasdaq. Of course, we have a lot of hard work ahead of us to make it happen, but we have a clear goal and we’re sure that we’ll be able to achieve it.

If you want to follow our progress, please check out our:

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All materials on this site are for informational purposes only. None of the material should be interpreted as investment advice.

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