How Kima decides when to rebalance
Kima does not rebalance on every price movement.
Rebalance decisions are determined by proprietary quantitative strategies that adapt to the characteristics of the asset and pool.
The models may consider factors including:
Asset type
Market capitalization
Volatility
Liquidity
Trading activity
Pool conditions
Current range
Strategy configuration
Asset-aware automation
Kima does not treat every asset the same way.
The intended behavior of a strategy depends on the asset class, volatility, liquidity, market capitalization, pool activity and risk profile.
Market regimes
Tokenized stocks
Example: NVDA. Tokenized stocks can exhibit different liquidity and market behavior from newly launched high-volatility tokens.
High-cap crypto
High-cap crypto represents a different market regime with different liquidity and volatility characteristics.
Newly launched memecoins
Newly launched memecoins represent another regime. For these assets, Kima’s product model contemplates additional protections aligned with the asset risk profile, including the possibility of rug risk or severe market dislocation.
The specific detection and decision logic of proprietary risk models is not exposed publicly.
Keeper
The keeper is the automation layer that can rebalance, compound and adjust a position within the permissions granted by the vault.
The keeper does not own the user’s capital and cannot withdraw or redirect user funds.