Slippage Modeling

OLTA incorporates real-time and predictive slippage modeling to adjust pricing and enforce eligibility

1. Slippage-Adjusted Pricing

All asset prices used for NAV and rebalancing are adjusted based on simulated slippage at trade size benchmarks (e.g., $10k, $100k).

2. Venue-Aware Execution Modeling

Execution is routed primarily through high‑liquidity, Tier‑1 CEXs (e.g., Coinbase, Binance) for tighter spreads and operational security. DEX routes are blended when cost-effective.

3. Exclusion Based on Slippage Thresholds

Assets that consistently fail slippage tests (e.g., >1% for $10k notional) are excluded from indices to preserve investability.

For more information, refer to Slippage-Aware Pricing Logic page.

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Monitoring & Adaptation

• OLTA’s slippage models are recalibrated regularly based on trading data, volatility, and evolving market structure.

• Risk dashboards provide live transparency into effective depth and modeled slippage for each asset in the index universe.

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These mechanisms ensure that OLTA indices remain robust, transparent, and scalable even in a fragmented and fast-moving DeFi environment.