The month of April was an excellent month for our 48 trading bots.
On average the return on our bots increased with 24,5% in crypto terms (20% in EUR value). This compares very favourably with the price of the Bitcoin which decreased with 5% during the same month.
Our 3 new Dagobert Buck trading bots had a very good first month while the 3 new The Noogieman trading bots unfortunately started the first month with a loss.
Now working hard on new bots for our new brand “Illuminati” where we try to introduce some new trading concepts, again with a focus on high-risk bots (which are generally favoured on the trading platforms).
I am The Machinist. My academic background is in Artificial Intelligence (AI), but my personal background is financial trading systems. With AI you might be thinking about an intelligent super system that flawlessly reads the market. However the real catch is reading the intelligence that is found in the market. Humans, human behaviour.
We try to extract human behaviour from the markets movements. We actually believe human greed and fear is a constants and trigger when the environmental variables are well defined. This can be approached as an offset from a norm. We try to use this insight and define these norms in the market.
This has actually been successfully implemented for some crypto coins with the St34m Engine, a Bot currently contesting in the BOTS League.
Every person has its own beliefs related to trading and cryptocurrency. We try to move towards these beliefs by developing multiple Bot-series. So far there are three typical algorithm: the Long Term Investing (LTI) series, the Outperforming and Reinvesting (OAR) series, and the Momentum Swinger (3-Way enhanced RSI) series.
The LTI series tries to follow the trend of a coin while staying out of risk, but with the goal of following the long term trend. The OAR series tries to buy low and sell high, while keeping the long term trend in mind. The Momentum Swinger series is more focused on small trends rather than the long trend and can handle down trends.
While our goal is to only produce good algorithms the markets can sometimes, even for us, act strange. By choosing to follow one or more series you know exactly the intention behind your Bot of choice. That is your way of implementing your beliefs about the market.
To further stimulate the thought process and decision making of more technical or curious users we choose to provide you with showcases of our algorithms. Every above mentioned series can be seen applied on real life charts. In this way you can see how your Bot handles different situations. To reduce confidential exposure however, timestamps and prices have been removed. We thank you for your understanding.
Today we put our first trading algorithm live under our new brand “Illuminati”.
Illuminati is the name of a secret society founded in 1776 in Bavaria, Germany that still today is linked to ruling the world as a sort of “fourth power”. The name Illuminati refers to the very secret society of quant developers that have been powering winning trading teams around the world in the last 10 to 20 years.
Quant algorithms have been powering Flow Traders, Optiver and IMC in the Netherlands, but also internationally firms like Rentech, Citadel, DE Shaw, Two Sigma, AQR and others. The core of these trading algorithms is built by a small, very global but high calibre group of quant developers.
Illuminati is now our fifth brand of trading algoritms, together with Boosting Alpha, The Noogieman, Dagobert Buck and Team Dakar. We aim to launch an additional 10 to 20 new trading algorithms under this new brand in the next 2 to 3 months.
Boosting Alpha (BA), currently the largest BOT-Creator, became an investor in our business. They will be a strategic partner and we will work closely together on a lot of (technical) trade-solutions. This will mean that we will be able to develop more bots, on a faster and larger scale that even trade better. We will be closely working together so that we can significantly move faster within the crypto- and other markets.
In addition to the above we have signed two partnerships:
A partnership with team Rave Before the Machine (RM) to facilitate and develop future bots.
A partnership with Team Cutter (TC), which is currently in the Leader-board with their bot 'Pakjesboot'. We will help them with facilitation, optimization and development of their Bots.
We are currently talking with multiple partners, as a lot of people are interested in developing an algorithm whereas they want to have a partner to check, optimize and publish that as a bot. Our framework facilitates this and we are able to quickly produce winning BOTS.
In the mean time we are moving into a new office located in Amstelveen, Netherlands, currently with 8 people and growing.
We are Stefan and Oscar and live in Voorburg, Netherlands.
I (Oscar) have a background in mathematics and actuarial science. Actuarial science has some common ground with econometrics. One of the elements within this education is to develop predictive models based on lagging indicators. Furthermore I’ve been working in the financial industries for over a decade. In this function I have been developing several models.
In 2014 we got familiar with cryptocurrencies and started mining several coins with our own build mining rig. However, after a while, this was not profitable anymore.
In 2020 we continued investing and trading a little bit in the crypto market. Firstly we were using several trading bots from other companies and also tried the BOTS platform as a client.
Because I am a developer and I like to have a certain control of my own strategies, I wanted to develop these strategies myself.
Firstly we developed strategies that were trading on our own account on the exchange. The disadvantage is that you can only use one strategy on your own account.
So this is where Stefan and I decided to start developing our own trading strategies to deploy on the BOTS platform and share our strategies with the world.
Our first goal was to develop a set of strategies to participate in the BOTS League, so this is where the idea comes from to start trading on single markets. When spreading your risk within a single bot, this also mitigates your upward potential (which can be undesirable in such a league).
So the bots that participate in this League have strategies that actually work pretty well on a single market.
Developing multi-coin bots will make the trading strategy much more complex, because a dollar invested in Bitcoin cannot be invested in another coin. Furthermore there can also be some interaction between several coins.
In the the coming months we will be working on several multi-coin strategies. In the coming weeks we expect the first multi-coin strategies on the BOTS RevenYOU platform.