Market Dynamics
How value is determined, how matchups work, and how to influence the Index.
▶ Capra Rating (CR)
The Capra Rating (CR) is the core metric of the platform. It represents the cultural market value of an asset. Think of it like a stock price, but for cultural impact.
CR isn't static. It fluctuates based on:
- Performance in head-to-head matchups
- Volume of Buy Orders (Votes)
- Market sentiment
▶ Matchup Mechanics
1. Active Market
The system generates head-to-head matchups (e.g., "Kendrick Lamar vs. Drake"). These markets remain OPEN for a set period.
2. Buy Orders (Votes)
Investors "vote" by placing a Buy Order on the asset they believe is superior. This signals market confidence. There is no cost to place a basic Buy Order (vote).
3. Settlement
When the market closes, the asset with the most Buy Orders wins. The winner gains CR points (value goes up). The loser loses CR points (value goes down). The amount depends on the difference in their initial ratings (proprietary rating algorithm).
▶ Voting vs. Betting
Voting (Buy Order)
- • Free to participate
- • Directly affects Asset CR
- • Determines the winner
- • "I believe this artist is better"
Betting
- • Costs Liquid Bankroll
- • Earns profit if correct
- • Does NOT affect the outcome
- • "I believe the market will pick this artist"