Investing in Crypto Kai Portfolios on TokenSets — The Full Beginners Guide

Left: Crypto Kai Blue Chip Index ($CKB) | Right: Crypto Kai Innovation Index ($CKI)

👋 Hello! This walkthrough will hopefully cater to you if you happen to fall into one of these buckets:

A) You are an avid Crypto Kai follower and are interested in the approach and long term prospects of our on-chain portfolios.

B) You are a newbie in the cryptocurrency space and want exposure to the altcoin market without navigating the minefield yourself.

C) You think Crypto Kai is a badass name and that was enough to want in.

None of these describes you? Well, let’s just assume you fall under C and carry on.

This guide is going to walk through how you, with zero prior knowledge, can invest into the Crypto Kai Portfolios and own Crypto Kai Innovation Index ($CKI) and Crypto Kai Blue Chip Index ($CKB) tokens. The great thing about Set Protocol, the DeFi infrastructure that the Crypto Kai portfolios are built on top of is that you can freely trade, redeem, sell and transfer your portfolio tokens at any time, in a trustless system that does not depend on me as the manager of the portfolios to facilitate your requests.

TokenSets, the gateway into Set Protocol

The Plan… 💡

  1. Create your Coinbase account
  2. Buy your first ETH on Coinbase
  3. Create your Ethereum wallet using MetaMask
  4. Send ETH from your Coinbase account to your Ethereum wallet
  5. Connect with TokenSets and invest in both $CKI & $CKB portfolios
  6. Add $CKI & $CKB portfolio tokens to MetaMask
  7. Connect with Zerion to track the portfolio performance

If you’re already familiar with the crypto space and have an Ethereum wallet already, you can probably just go ahead and skip to step 5.

Important note on allocation

Transacting on Ethereum costs ETH, paid to the miners that keep the network secure and decentralised. Ethereum has had a boom of popularity due to the DeFi and NFT space and when the network is congested fees can, unfortunately, raise the barrier for entry to some participants to interact with decentralised applications on-chain, such as Set Protocol.

With transaction costs in mind, I would recommend the following minimum viable investment when you reach step 5. Navigate to https://www.gasnow.org and look at the ‘Fast’ number and map it to the below recommended viable investment size:

0–15: $250 minimum investment

16–30: $500 minimum investment

30–50: $1000 minimum investment

51+: $2000+minumum investment

The Guide… 📚

Coinbase

Create your Coinbase account

Open Coinbase up in your browser by clicking 👉 here.

Coinbase sign up form

You’ll be asked for the following information. Important: Enter accurate, up-to-date information to avoid any issues. Check the box and click Create Account (computer) or tap SIGN UP (mobile) if you agree.

Verifying your Coinbase account

Coinbase will send you a verification email to your registered email address. Select Verify Email Address in the email you received from Coinbase.com. This email will be from no-reply@coinbase.com and the link will take you back to the official website where you can continue the sign-up process. At this point, you may be prompted to verify your phone number, continue to do this and proceed to the next step.

Adding your personal information & identity verification

You will now be presented with a set of steps for confirming your identity. You can skip some of this for now and do it later but it is worth setting up as the more information you give them, the more assets you’ll be allowed to buy per week and the more secure your account will become.

Link a Payment Method

Navigate to the settings page of your Coinbase account and click the ‘Payment methods’ tab. Here you start to add a means of buying your first Crypto assets. Click the ‘Add a payment method’ button and follow the steps to link your card or Paypal to your Coinbase account.

UK Payment Options

Buying ETH with your linked payment method

It’s time to buy your first ETH! Why ETH I hear you say? Well the TLDR, Ethereum is the community-run technology powering the cryptocurrency, ether (ETH) and thousands of decentralized applications. Set Protocol, the decentralised application that the Crypto Kai portfolios are built on require ETH to interact and invest with. 🔗 More on Ethereum…

Hit the Buy/Sell button on the Coinbase Dashboard.

The Buy Modal will appear on screen and default to Bitcoin as the asset you are purchasing, be sure to click Bitcoin and select Ethereum from the dropdown list to make sure you are buying the correct asset.

Select how much ETH you would like to purchase and allocate eventually towards the Crypto Kai portfolios. For the purpose of this guide, I am going to buy £250 (≈$347.1) worth of ETH, which at the time of writing was around 0.14 ETH at the rate of £1682/ETH.

Now if you go to your portfolio tab you should see the ETH that you just purchased.

Now to shift gears! We need an Ethereum wallet to send the newly bought ETH to so we can interact with TokenSets and invest in the Crypto Kai portfolios.

Enter MetaMask!

Creating your Ethereum wallet using Metamask

Ok first up, what is an Ethereum wallet? Here is a snippet that describes it best on Ethereum.org

Ethereum wallets are applications that let you interact with your Ethereum account. Think of it like an internet banking app — without the bank. Your wallet lets you read your balance, send transactions and connect to applications.

To create and use an Ethereum wallet you will need a client that interfaces with the network on your behalf, one such client that is trusted by over a million users is the MetaMask wallet.

Download Metamask from https://metamask.io (you can use it simultaneously on chrome, iOS and Android).

MetaMask download options

Once you install MetaMask you will get this prompt in your browser in a new window. Click ‘Get Started’, ‘Create a Wallet’ and enter a secure password of your choosing.

You will then be presented with your Secret Backup Phrase. It is incredibly important to read through this page and fully understand that you should never show this phrase to anyone under any circumstances as it would give them full access to your funds. Follow the tips presented to store your secret backup phrase safely in case you need to recover your wallet and click ‘Next’.

Once you have completed the phrase verification you will be presented with your Ethereum wallet. Click on the wallet address seen under the account name, in the case ‘Account 1’ to copy your public address to your clipboard. This address is your wallets unique identifier on the network, if I wanted to send tokens to this account from another account, I would use this address as the recipient of the tokens.

MetaMask Wallet

Sending ETH from Coinbase to MetaMask

Go to your Coinbase account dashboard and click the ‘Send / Receive’ button on the top right-hand side of the page.

Fill in the Send modal, pasting in your MetaMask Ethereum wallet public address into the ‘To’ field and ensuring to select Ethereum from the ‘Pay with’ dropdown. Once complete, click continue and verify the details before clicking ‘Send Now’. This sends the transaction to be confirmed by the network and so the ETH could take a few minutes to appear in your MetaMask wallet.

Once it arrives and you can see it in your MetaMask balance then you’re ready to move onto the next and best step, investing into the Crypto Kai Portfolios!

Buying Crypto Kai Portfolios on TokenSets

It’s time to join the Dojo! Lets recap -

  • You have a Coinbase account that you can use as an on and off ramp to crypto assets.
  • You have bought your first ETH and created your own Ethereum wallet via MetaMask to keep it secure and enable you to interact with the blockchain.

Now let’s connect with TokenSets and invest the ETH in your MetaMask wallet into the Crypto Kai Portfolios of your choice.

tokensets.com

Navigate to tokensets.com and click on the ‘Sign In’ button on the top right and select MetaMask to connect your Ethereum wallet to the Dapp.

Now your wallet is connected to TokenSets, navigate to one of the following Crypto Kai portfolios:

🔗 Crypto Kai Blue Chip Index

🔗 Crypto Kai Innovation Index

What portfolio should I invest in?

You can choose to invest in one, or both, it should be said that for smaller allocations, just one portfolio at the start would be most viable due to due to transaction fees. Here is a little snippet about both portfolios to help you make a decision:

  • The Crypto Kai Blue Chip Index is a full altcoin exposed portfolio that targets mid to large market capitalisation crypto assets that have a history of positive price performance and a very reputable project and team in the ecosystem with backing from various VCs and institutions. Past this, asset selection criteria are done via fundamental analysis on comparative value and technical analysis for entries and exits. Example assets include: $SUSHI, $ALPHA & $COMP.
  • The Crypto Kai Innovation Index is a full altcoin exposed, high-risk high reward portfolio that targets small to mid-market capitalisation crypto assets that have strong macro fundamentals and a significantly asymmetric risk profile due to their growth potential vs the rest of the ecosystem. The low market cap nature of these projects means they are hyper-volatile and should be only a small part of any individuals portfolio. Past this, asset selection criteria are done via fundamental analysis on comparative value and technical analysis for entries and exits. Example assets include: $INDEX, $BANK & $ROOK.

Buying into the portfolios

Now you have chosen which asset you would like to invest in, go to the Crypto Kai Blue Chip Index or Crypto Kai Innovation Index page and click the buy button.

$CKI Buy Modal

Above we are going to buy 2 $CKI tokens with our ETH. These tokens represent the Crypto Kai Innovation Index and any changes that happen within it — In fact, you own all the representative underlying assets that are within the portfolio smart contract.

Set is non-custodial protocol, so as the manager of the Crypto Kai portfolios I can never withdraw your funds from the smart contract, I can only trade the underlying assets to execute the strategies for each index, giving the $CKI and $CKB tokens their value. On the surface all you need to know is that your $CKI and $CKB tokens are your stakes in the actively managed portfolio and you can freely sell, transact or redeem them at any time, if you would like a deep dive into what happens under the covers on the smart contract layer then I have you covered with this video…

Once you’ve chosen how many $CKI or $CKB you would like to buy you can press the ‘Preview Buy’ button and confirm the details. It is important here to check the ‘Network Fee’, this is the transaction costs for interacting with the smart contract and vary based on network congestion, be sure to make sure at the time of the transaction you are not paying most of your investment in network fees!

$CKI Confirm Buy Modal + MetaMask Tx

Click ‘Submit Buy’ and then confirm the transaction on MetaMask when it prompts you by clicking the ‘Confirm’ button. You will be presented with the modals below which will track your order, once the transaction is complete you will be notified and there is even a link provided to Etherscan that lets you see the details of the transaction.

Buy Progress Modals

Adding $CKI and $CKB to your MetaMask

Congratulations and welcome! You are now part of the Crypto Kai investing community and on the same journey documented by our Dojo On-chained YouTube Series. Let’s get you set up so you can track the performance of the portfolios yourself!

Open up MetaMask, scroll to the bottom and click the ‘Add token’ button then ‘Custom token’ and fill in the token address field with the following for the token you own

Own Crypto Kai Blue Chip Index? 0xD13bF4acF5d4b2407d785d2528D746fA75CF9778

Own Crypto Kai Innovation Index?0x68ab9f9ba8E490D9Dc191f7A90540b5EDCcC92D6

Adding $CKB and $CKI to MetaMask

Now the portfolio tokens are added to your MetaMask you can see your balance and send/receive them just like any other token on the network.

Tracking performance of your $CKI and $CKB tokens

The simple way of seeing the value and balance of your portfolio tokens is to click the Account button at the top right of the TokenSets page. From here if your wallet is connected you will see the balance of your $CKI and $CKB and the total value at the time. Below we own both portfolios in our wallet.

TokenSets account page

To get a more detailed view of our portfolio performance over time we can use Zerion. To do so navigate to the homepage at https://zerion.io and click ‘Connect Wallet’ at the top right-hand side. Select MetaMask and continue

From here on the dashboard, you will have a much more detailed view of your portfolio performance, complete with varying timeframe charts, average entries and other important metrics. If you click into the individual $CKI and $CKB assets you can see the general performance of the indices themselves and in relation to the amount you own, very neat.

You’ve made it! 🙌

Congratulations on making it this far and taking your first foray into a fully on-chain portfolio and interacting with one of the most sophisticated DeFi protocols around! You now own Crypto Kai portfolios and the logical next step is to make sure you stay up to date with our portfolio journaling through YouTube, Medium, Twitter and of course our online Discord community where you can come and chat!

YouTube | Medium | Discord | Twitter

Crypto Kai Discord

Thanks for getting this far and please don’t hesitate to reach out if you have any questions on this guide, the portfolios, DeFi… or anything in general! We’ve only scratched the surface here for the purpose of this article, but we would love to chat and help you with your on-chain investment journey through our Discord.

Want to deep dive into TokenSets so you understand the platform back to front? Check out the official documentation below that covers all topics.

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Founder @ Galleon | Advisor @ Set Protocol

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Andrew Wilkinson

Andrew Wilkinson

Founder @ Galleon | Advisor @ Set Protocol

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