Index Coop

Index Coop builds tokenized index, yield, and leverage products on Ethereum, Base, and Arbitrum. At the 2026-08-15 survey the tracked products held about $10.1M, far below our size floor. We do not open an individual review until it clears that floor: one practice advising 100 households moves $1M to $8M into a venue on the same research, and that book becomes the exit crush at this size. Size alone decides it, whatever the protocol’s quality.

Review triggers: events that reopen the verdict
• TVL sustained above the retired TVL threshold for 30 days

Watched nightly: a warning on its venues or files, or a cited document that changes, reopens the memo. The first confirmation is due 2026-11-15.

The research file

Mechanism applicability

Index Coop packages onchain asset-management strategies into ERC-20 products. Current products include collateralized index and yield tokens, plus leverage tokens that deposit collateral into Aave or Morpho, borrow against it, and rebalance within set leverage bands. This is the surveyed Index Coop product range. Its total size places it under the shared v1 size rule; this does not mean that all products have the same risk profile.

Current observation and perimeter

The DefiLlama protocol API read on 2026-08-15 classified Index Coop as Indexes and reported approximately $10.12M across Ethereum, Base, and Arbitrum. The current product site reports roughly $16.5M of broader exposure, while current documentation lists live leverage products on all three chains. The registry now includes Arbitrum and applies the narrower survey TVL consistently when testing the class.

Control and exit applicability

Index Protocol uses product-specific manager and strategy-extension contracts alongside issuance, redemption, fee, lending, oracle, and exchange modules. Managers can run rebalances and change configured parameters. Leverage products carry liquidation, borrow-rate, oracle, and DEX execution risk. Investors can redeem non-leverage products without permission for their underlying components, even without the app. Exits from leverage tokens must also unwind debt and can carry issue, redeem, borrow, and market-execution costs.

Why the class rule decides

At about $10.12M survey TVL, a $1M to $8M advised book would still form a material share of the tracked system, even before testing each product’s market depth and debt unwind. The shared v1 size rule therefore decides. Open an individual review only after DefiLlama TVL stays above the size floor for 30 consecutive days. Then review each proposed token separately for methodology, manager powers, collateral and leverage, incidents, proposed-size mint/redemption depth, legal access, and named simpler alternatives.

Research status

This is a capacity-unproven record for Index Coop, not a quality rejection or approval. Reported TVL says how big the venue is, not what the client owns, who can change the rules, or how a position exits at a proposed size. The individual review opens when the protocol clears the size floor.

Sources

The claims above trace to these. Where a number could not be independently verified, the thesis says so.

• Index Coop — current products and mechanism · primary · accessed 2026-08-15
  Supports: current product lifecycle, index products, leverage mechanism, Aave integration, fees
• Index Coop — leverage suite deployments · primary · accessed 2026-08-15
  Supports: Ethereum, Base, Arbitrum, target leverage, issuance and redemption fees
• Index Coop — Index Protocol architecture · primary · accessed 2026-08-15
  Supports: ERC-20 strategies, manager controls, modules, oracles, exchange adapters
• Index Coop — programmatic redemptions · primary · accessed 2026-08-15
  Supports: permissionless redemption, underlying components, front-end independence, leverage exit complexity
• DefiLlama — Index Coop survey record · secondary · accessed 2026-08-15
  Supports: current TVL, Ethereum, Base, Arbitrum, Indexes category, survey observation

Inherited controls

The research above describes the protocol layer. Every position also inherits the asset it holds and the chain it settles on. The layer with the most administrative power sets the position’s effective control; that describes control, not quality or suitability.