Creation of Stonk Indexes:
Stonk Index: Based upon the crowd wisdom of players and traders identified during platform matches, StonkLeague will create a selection of investable token indexes.
Stonk indexes will be created based upon the preferences and gameplay of StonkLeague traders via a stonk-score weighted crowd sentiment model. By the very nature of games, players take directional stances via long, short or neutral positions on various crypto assets. This data can then be used to rank these crypto assets from most to least favorable based on community sentiment. However, while there is an abundance of data to show that crowd wisdom in and of itself is a viable mode of assumption creation across a broad spectrum of matters, trading and investing included, Stonk also seeks to reward, support and leverage the accuracy and success of individual high-performers as well.
As such, the sentiment of each trader will be weighted according to a number of variables:
Stonk Score: Players with higher overall stonk trader scores and leaderboard ranking will take a higher weighting in the platforms assessment of true asset sentiment
Magnitude: The scale of a traders position relative to their historic gameplay will be considered when weighing the strength of their sentiment. I.e. If a player typically plays stonk games with an average of 50 stonk per game, a new position made utilizing 500 stonk will be interpreted as a show of stronger directional sentiment and hold increased weighted importance.
Platform Participation: Players with fewer than 20 matches played will be preclude from consideration in index weighting.
Historic Performance: Players must maintain the minimum accuracy requirements set forth by the governance stakers to avoid preclusion from index weighting.
This weighted sentiment analysis will be used to create a ranking board for all crypto assets eligible for stonkleague games ranked from highest to lowest in weighted sentiment.
Each asset will then be further categorized by its market capitalization high, medium or low with the criterion of each being determined by the governance participants.
The leading assets within each market capitalization category will then be bundled into strength-weighted indexes according to their size amounting to a large, medium, small and size-agnostic index.
The mixed size index will represent the top 10 currencies irrespective of market capitalization.
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