Formation FI (the Risk Parity Protocol) is a cross-chain decentralized asset management system that allows users to quickly establish highly diversified portfolios customized to individual risk preferences, bringing maturity and stability to DeFi. According to its whitepaper, the platform's set of tokenized, algorithmically rebasing indexes allows users to build a risk-adjusted portfolio of crypto assets in an open and democratized manner. Users own a combination of index tokens that reflect various assets across many networks, lowering risk and saving time and money.

The FORM token is claimed to be a triple-utility token that provides profit-sharing, governance and helps expand the DeFi ecosystem by leveraging the wisdom of the crowd to discover and support the most promising projects, oversees the entire protocol. The Risk Parity Protocol automatically configures and suggests a portfolio of yield-farming strategies matched to the user's risk profile assigns and calibrates asset allocations across core asset classes. With a periodic rebasing function, the protocol then mints index tokens that monitor the underlying DeFi assets and yield farming schemes.

The claimed functions of the FORM token are:

The roadmap of the Formation-Fi includes the first quarter of 2021, which marked the website launch and the whitepaper release. The second quarter of 2021 consists of the formation of smart contracts, BSC bridge development, and community launch on Telegram and Twitter. The total supply of the FORM tokens is one billion tokens.