Weight Caps & Restrictions
One rule does most of the protective work: no single non-oracle asset may exceed 30% of a Blend.
The 30% rule
Any component without a Chainlink price feed is limited to 30% of the Blend's target weight. Oracle-priced Stock Tokens are not subject to the cap, since their valuation does not depend on a single pool.
Why it exists
- Manipulation protection. A non-oracle asset is priced by its own pool. If one such asset dominated a Blend, an attacker could move that pool and distort mint and redeem math for the entire Blend. Capping it at
30%bounds how much damage a single manipulated price can do. - Concentration protection. The cap guarantees a Blend holds at least four components, so a single rug or liquidity collapse cannot take the whole basket with it.
- Redemption sanity. Spreading weight across several pools reduces the slippage any one redemption imposes on a single thin market.
Other restrictions at creation
- Weights must total exactly
100%. - Each asset may appear only once; duplicates are rejected.
- A Blend needs at least two components — a single-asset Blend is just a wrapper and is not permitted.
- Name, ticker and description are required and length-limited.
Caps apply at creation. They constrain the starting composition but do not prevent weights from drifting afterwards during extreme divergence.