thats a bit small... 5/16 is better.
the 1/4" will be taking more strain in relation to its working load rating, and it will have a higher wear rate on the links.
in addition to the working load being less, its also lighter.... part of the desirability of chain is the "sag" it has in it between the boat and the anchor... this sag allows for a cushion effect when the wind and seas kick up while on the hook.... as the boat gets jerked around by wind and wave, the weight of the chain in the sag acts like a snubber or spring.... too much boat and not enough chain weight, and the boat will jerk against a tight chain...
lots of chain out in a protected anchorage and you should be ok, or you could also use a kellet, but with either option you are defeating the purpose of using all chain.
more chain weight is better.