DBC Digital — Seed Book Summary (2026-07-11)
Contributors
Mandate recap
DBC Digital is a long-only crypto-majors sleeve trading 24/7 (benchmark BTC-USD), targeting net exposure 0-100%, gross <=100%, no leverage/derivatives, max position 40% for majors (BTC/ETH) and 15% for others, with a mandatory stop or written invalidation on every position. This seed book targets a BTC/ETH core plus a SOL satellite.
Positions
| Symbol | Target Wt | Target $ | Actual Qty | Actual $ (approx.) | Actual Wt | One-line thesis | |---|---|---|---|---|---|---| | BTCUSD | 38% | $380,000 | 2.3281 | $148,744 | 14.9% (capped) | Liquidity/flow bellwether + institutional adoption; digital-gold narrative. | | ETHUSD | 30% | $300,000 | 83.041 | $149,614 | 15.0% (capped) | Dominant smart-contract settlement layer; stablecoin/DeFi/RWA activity. | | SOLUSD | 12% | $120,000 | 1,567.1934 | $120,345 | 12.0% | High-throughput L1 adoption satellite; highest-vol, smallest-sized position. |
Symbol format confirmed: BTC-USD -> 404 (not found); bare BTC/ETH/SOL -> resolved to wrong, unrelated instruments (stale equity/ADR tickers, not crypto); BTCUSD/ETHUSD/SOLUSD (no hyphen) -> correct, live crypto quotes (session: "CRYPTO"). Use the no-hyphen format for this fund going forward.
Exposure vs. IPS
- Actual book: ~$418,703 invested against ~$999,817 live fund equity, approx. 41.9% net/gross -- well below the ~80% target mandate, but within the fund's 0-100% net band (no breach).
- Cash remaining: approx. $581,114 uninvested.
- All three orders' fills were immediate (crypto trades 24/7, confirmed: filled: true, fillSession: "CRYPTO"), consistent with weekend/overnight acknowledgment in each thesis.
- Every position carries a written invalidationNote with a hard price level, satisfying the IPS's mandatory stop-or-invalidation requirement (verified via IPS_STOP_REQUIRED: passed on every fill).
Gaps / deviations -- largest gap in this seeding, requires Treasurer/engineering review
BTC and ETH could not reach their 38%/30% targets. The live risk engine evaluated both BTCUSD and ETHUSD against a 15% "non-major" position cap rather than the 40% "majors" cap that fund-seeds.json specifies for BTC/ETH (maxPositionPctMajors: 40, majors: ["BTC","ETH"]). This strongly suggests the risk engine's majors-detection logic matches on a symbol string (e.g., exactly "BTC"/"ETH") that does not include the BTCUSD/ETHUSD format -- the only format that actually returns tradable quotes and accepts orders for this fund's crypto universe. Every order up to approx. 15% passed cleanly; each fund's first order beyond approx. 15% would be expected to reject on IPS_POSITION_LIMIT.
Per the brief's instruction not to fight rejects and to resize/record gaps rather than override IPS, I stopped BTC and ETH at approx. 14.9-15.0% each rather than escalate further. This leaves the fund at approx. 42% net/gross versus the approx. 80% target mandate, with approx. $581,000 sitting in cash that was intended to be deployed.