Hey Mike.
We are currently back-testing both 12 and 24 hour strategies. The trade-off between the two is that the shorter period between rebalances will be more susceptible to volatility decay over longer time periods, but may do a better job of tracking the price of the underlying during shorter price movements.
As you mentioned above, this may differ from the kind of daily returns that customers would normally expect. Our thinking is that crypto is a more volatile asset class, so it is worth considering strategies that might be better adapted to that environment - if LINK moves 10% in a day, a single rebalance may fail to capture that. We have seen this issue frustrate some customers, and have considered this as an option to try mitigate that issue.
Ultimately, we will present the methodology that we know is both safe and attractive to customers based on the evidence.
Thanks for asking this question. It highlights an important consideration we are working on.