RUJI Index
RUJI Index substantially simplifies managing your diverse crypto portfolio.
Instead of picking individual coins, you can hold ready-made index tokens that track a whole basket of assets. Behind the scenes, smart contract vaults keep everything fully backed and automatically balanced.
You can mint, redeem, or trade these index tokens anytime, without asking anyone for permission. All available indices are listed on our Index page.
Key Features
Fully Decentralized, On-Chain Indices: RUJI Index products are non-custodial and operate entirely on-chain. With no central intermediary, all asset management and trading logic is governed by smart contracts.
Tokenized Asset Baskets: Each index represents a bundled basket of assets. Minting an index token, generates a single receipt token that is composable and can be used in other DeFi protocols, simplifying liquidity and collateral management.
100% backed at all times: At all times, every index is backed by its full complement of underlying assets stored in the smart contract vault. This model unlocks a wide range of DeFi applications, as each index token consistently reflects the combined value of its underlying assets.
No deposit & withdrawal lock-up: The underlying assets are redeemable at all times (subject to orderbook liquidity), with no deposit or withdrawal lock up period. Additionally, some indexes have their own order book on RUJI Trade, where the receipt token can be bought and sold without requiring minting or redeeming. This enables efficient arbitrage, helping ensure the index token consistently trades near the combined value of its underlying assets.
Automated Rebalancing Engine: For rebalancing indexes, the smart contract continuously adjusts the assets within the index to maintain predefined target weights. Each rebalance takes price impact and slippage into account, selling assets that have exceeded their target allocation and buying those that have fallen below. Fixed indexes do not rebalance, letting winners run and losers lose.
Benefits
One-click diversification: Access a diversified portfolio with a single action. By minting index tokens you gain broad market coverage and simplify your portfolio management.
Efficient rebalancing: Since the index automatically rebalances according to pre-set parameters, you don’t need to monitor the market 24/7. The protocol minimizes slippage and price impact by executing trades strategically, helping maintain target allocations over time.
Permissionless minting & redemption: Anyone can mint or redeem index tokens at any time. This open access minimizes price discrepancies between the index token and its underlying assets.
Cross-Chain Accessibility: Thanks to THORChain's architecture, you can access RUJI Index from any supported network. Whether you’re on Bitcoin, an EVM chain, a Cosmos chain or any other chain integrated with THORChain, the index protocol remains interoperable across all supported ecosystems.
Fees & Fee Sharing with THORChain Base Layer
RUJI Index: There is no mint fee, only a redemption fee of 1.0% as well as management fee of 1.0% p.a., both accruing to RUJI stakers
Rujira & THORChain: RUJI Indexes are products built on top of Rujira's Orderbook DEX. Hence, every mint, redemption and rebalance is subject to the standard Orderbook DEX fee, accruing value to both RUJI stakers and THORChain Base Layer.
Status
Live here.
Advanced Documentation
Issuance and Redemption
When issuing & redeeming an index asset, the protocol handles calculations, swaps, mint/burning as well as maintaining all the underlying assets inside a vault.
A high-level asset / user flow is illustrated below.
Issuing an index token
The contract issues an asset in six steps:
Contract receives an amount of base asset from the user (RUNE or USDC, depending no the index).
Contract determines how many units of the base asset are used to buy each allocation based on stored index asset weights.
Contract initiates the swaps on the swap venue (RUJI Trade).
Contract receives swap output and adds it to the vault.
Contract mints the index receipt token based on received asset amounts.
Contract sends the index receipt token to the user.
Redeeming an index token
Redemption of an index token is done in five steps:
Contract receives an amount of index tokens from user.
Contract determines how much of each underlying allocation are redeemed based on the total amount of underlying assets and total issued index tokens.
If needed, the contract initiates the swaps on the swap venue (RUJI Trade) to get the base asset.
Contract confirms the swap outputs & burns the index token.
User receives the base asset (RUNE or USDC, depending no the index).
Rebalancing
There are currently two different type of index implementation, due to some assets having oracle prices (secured assets), while some don't (assets native to Rujira).
NAV indexes are auto-rebalancing indexes, but require all underlying assets to have an oracle price.
Fixed indexes are non-auto-rebalancing indexes with a fixed unit ratio between the assets. This implementation does not require oracles to be available for each asset.
NAV Index Rebalancing
The smart contract for each NAV index stores asset target weights. During each contract crank (e.g. minting), the index is rebalanced back towards the target weights, if the asset weight is at least X% away from the target weights, subject to liquidity. X is a parameter set in the contract.
Fixed Unit Index Rebalancing
Fixed unit indexes do not auto-rebalance. However, they can be rebalanced manually including for the following reasons:
Change the asset composition (i.e. add or remove an asset to/from the index).
Remove an asset in an emergency, e.g. case of protocol exploit/security issue.
Update asset weights to align with orderbook liquidity, in case the liquidity to index TVL share ratio changes drastically on one asset.
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