Dynamic Portfolio Rebalancing Engine

Eliminate manual compliance checks and audit preparation. Smart contracts encode investment mandates and regulatory rules (e.g., concentration limits, ESG criteria) directly into the rebalancing logic. Every trade is a tamper-proof, timestamped record on-chain, slashing audit costs by up to 70% and providing regulators with real-time transparency.

• Example: A fund with a 5% single-asset cap automatically triggers rebalancing when a position hits 4.8%, with the entire decision and execution flow immutably logged.

Collapse settlement cycles from T+2 to T+0 (instantaneous), freeing up capital and eliminating counterparty risk. Atomic swaps ensure the portfolio's assets and liabilities are settled simultaneously across all parties in a single transaction. This reduces capital reserve requirements and operational overhead associated with failed trades and reconciliation.

• Real-World Impact: A $1B AUM fund can redeploy millions in trapped settlement capital daily, improving yield and reducing dependency on clearinghouses.

Enable continuous, granular portfolio optimization instead of costly quarterly rebalances. Execute small, frequent adjustments to maintain target allocations with minimal market impact and lower transaction fees through DeFi liquidity pools. This captures alpha from drift more effectively and reduces the slippage and market impact costs of large, infrequent trades.

• ROI Driver: Shifting from quarterly to daily micro-rebalancing can improve annual returns by 15-45 basis points for a diversified portfolio, directly boosting fund performance.

Build investor trust with fully transparent, algorithmically enforced fee calculations. Management and performance fees are calculated on-chain based on verifiable portfolio values and automatically distributed. This eliminates disputes and administrative overhead, while providing investors with a real-time dashboard of accrued fees and net performance.

• Business Value: Transparent fee automation reduces administrative FTEs, minimizes investor inquiries, and serves as a competitive differentiator in fund marketing.

Manage a unified portfolio across traditional securities, tokenized real-world assets (RWAs), and digital assets from a single engine. Blockchain acts as a neutral settlement layer, allowing the rebalancing logic to seamlessly interact with TradFi bridges (via oracles) and multiple DeFi protocols (e.g., Aave, Compound) for lending/borrowing within the strategy.

• Strategic Advantage: Unlocks new yield-generating strategies by using tokenized Treasury bills as collateral to borrow stablecoins for further investment, all within predefined risk parameters.

Integrate dynamic hedging directly into the rebalancing cycle. Smart contracts can automatically trigger derivative positions (e.g., options, futures) on-chain based on real-time volatility or correlation data from oracles. This creates a self-insuring portfolio that adjusts its hedge ratios continuously, protecting against tail risks more efficiently than manual quarterly overlays.

• Example: Automatically purchase put option contracts for a portion of the equity exposure if the VIX index rises above a specific threshold, with the entire hedge execution and cost recorded on-chain.

A European digital asset fund uses our engine to manage a portfolio across Ethereum, Solana, and Layer 2s. Smart contracts automatically execute rebalancing based on pre-set risk parameters, eliminating manual intervention.

• Reduced operational overhead by 70% by removing manual trade execution and reconciliation.
• Improved execution timing by leveraging on-chain liquidity, capturing better prices.
• Enhanced audit trail with every transaction immutably recorded, simplifying compliance reporting.

A family office leverages the engine to dynamically allocate capital between lending protocols (Aave, Compound) and liquidity pools (Uniswap V3). The system automatically harvests yields and rebalances based on real-time APY data and risk scores.

• Boosted portfolio yield by ~15% annually through algorithmic capital rotation.
• Mitigated smart contract risk by programmatically moving funds away from protocols showing security warnings.
• Operational transparency provides clear, real-time reporting for stakeholders and auditors.

A fintech company uses the engine to manage its corporate treasury, ensuring holdings stay within strict regulatory liquidity and counterparty exposure limits. On-chain proofs provide instant verification for regulators.

• Eliminated monthly manual audits, saving an estimated 200+ person-hours quarterly.
• Guaranteed compliance through immutable rule enforcement, reducing regulatory risk.
• Faster reporting cycles – compliance reports generated on-demand from the blockchain ledger.

A multinational corporation uses the engine to manage currency and asset exposure across subsidiaries. Smart contracts automatically execute FX hedges and rebalance tokenized asset holdings when thresholds are breached.

• Reduced FX hedging costs by ~40% via direct access to on-chain forex pools.
• Minimized settlement risk with atomic swaps ensuring simultaneous asset exchange.
• Unified global view of treasury assets, improving capital efficiency and cash flow forecasting.