[Definix] Rebalancing Farm Beginner’s Guide

Since the launch, the Rebalancing Farm has received a lot of positive feedbacks. Now that the feature operates on both Klaytn and BSC, we thought it would be nice to go through each detail to show you how to master this farm and start rebalancing your portfolio.
Rebalancing Farm on Klaytn: https://sixnetwork.page.link/klaytn-rebalancing-farm
Rebalancing Farm on BSC: https://sixnetwork.page.link/bsc-rebalancing-farm
Table of Contents
1) Asset Ratio
The first thing we need to look at is the asset ratio for each farm, which indicates the list of coins or tokens the farm is intended to acquire.

For example, if you like to invest in big coins with credibility, you may choose to invest in a farm like the BULLISH GIANT, which has over 70% BTC and 30% ETH.
Another thing to consider is the stable coin ratio in the farm because the more stable coins, the lower the risk for that farm. The farm with more stable coins will be less profitable when the market goes up. But in a bear market, farms with more stable coins will not fall as much as farms with less stable coins. However, it depends on the preferences and investment characteristics of each individual.

2) Share Price
Share Price is the price per share, or in other words, it’s the ticket price to enter the Rebalancing Farm.
Let’s say we bought some shares at the price of $1. If the price of that farm drops to $0.8, we lose $0.2 per share we hold. So, it is crucial to consider the number of the percentage behind the price as well, as it indicates how much % loss or profit has had since the opening of this farm.

3) Max Drawdown
Max Drawdown is one of the most widely used risk assessment tools.
The Max Drawdown calculation takes the highest point of the chart and decreases it with the lowest point of the graph to find the differences in percentage. Therefore, the higher the Max Drawdown, the higher the volatility of the chart or asset, which means that the risk will also increase. For example, if the Max Drawdown exceeds 20%, it is a very risky asset to invest.

4) Withdrawal Fees
Withdrawal Fees are the fees for using the Rebalancing Farm itself, which must be paid after we withdraw our assets deposited in the farm.
As there are many farms available on Definix, it is essential to highlight that the fees for farms that have FINIX coins are only at 1.25%, while the fees for farms without FINIX are at 1.5%
What is FINIX?
FINIX is an ecosystem token within the Definix platform, which can only be earned by staking cryptocurrency supported by the platform.

5) Current Investment
If you have already invested in the Rebalancing Farm, the “Current Investment” page will show how much you have gained or lost.
This page will also show the number of shares you hold with the present value.
Example Farms:
Bullish Giant — BTC 70% ETH 30%
Satoshi and Friend — BTC 40% ETH 20% XRP 20% USDT 20%
Alt Party — ETH 30% XRP 30% BNB 30% USDT 10%
PoS Top Pick — ADA 20% ETH 20% AVAX 20% BNB 20% DOT 20%
FINIX VOLATILITY — FINIX 16% KWBTC 16% KETH 16% SIX 16% KLAY 16% KXRP 16% KUSDT 4% (On Klaytn)

Read more:
3 Important factors of rebalancing portfolio: http://18.139.223.32/3-factors-of-rebalancing/?
How to use Metamask on Definix: https://sixnetwork.gitbook.io/definix/guides-and-faqs/how-to-use-metamask-on-definix
This article does not contain investment advice or recommendations. Every investment and trading move involves risk; readers should conduct their own research when making a decision.

Napathsorn Unchit
Passionate about financial world and is an inverstor too! Giving out news update and blog post every month.
Visit us at SIX Network for more.
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