CVI - The Crypto Volatility Index
  • Introduction
  • CVI Index
    • CVI Index
    • Index Calculation
    • Understanding The Index
  • CVI Ecosystem
    • Overview
    • CVI V3
    • CVI V4
      • Hedged Theta Vault
      • Ultra CVI & Leverage
      • Real-Time Position Management
      • Integrated Bridge & Swap Function
      • Referral Program
      • Improved UI & UX
      • Execution gap
    • Volatility Tokens
      • Volatility Tokens Technology
      • Volatility Tokens Usability
    • Theta Vault
      • Hedged Theta Vault (V4)
    • $GOVI
      • Real Yield
    • Staking
    • Platform Fees
  • Deployed Contracts & Code Audits
    • Contracts (Arbitrum Chain)
    • Contracts (Previous version -Ethereum Mainnet)
    • Contracts (Previous version - Polygon Chain)
    • Audits
  • Learning Resources
    • CVI Platform Tutorial
    • CVI Whitepaper
    • CVI V3 Litepaper
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  1. CVI Index

CVI Index

The CVI index is a volatility index for crypto.

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Last updated 1 year ago

The Crypto Volatility Index (CVI) stands as a pioneering benchmark in the cryptocurrency market, offering a decentralized, stable, and transparent measure of market volatility. Developed in collaboration with Prof. Dan Galai, co-creator of the original CBOE volatility index, CVI serves as a "market fear index" specifically tailored for the dynamic world of cryptocurrencies.

Functionality and Mechanics

At its core, CVI tracks the 30-day implied volatility of major cryptocurrencies, namely Bitcoin and Ethereum. The base CVI index operates on a scale from 0 to 200, reflecting varying levels of market volatility. Its calculation is rooted in the Black-Scholes option pricing model, which integrates the implied volatility derived from cryptocurrency option prices and incorporates the market's projections of future volatility.

Trading and Strategic Application

Trading based on the CVI provides a unique strategic advantage. It allows traders to capitalize on market volatility without the need to predict specific price directions. Traders make a profit on volatile markets, whether the prices are going up or down.

Tradingview Integration

TradingView is a widely recognized and highly regarded platform among traders and investors, with a vast user base spanning the globe. It offers state-of-the-art charting tools that allow market enthusiasts to engage, analyze data, and prepare for , trading and various other assets.

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