Mercor Finance kicked off 2022 with a blast. Mercor unveiled numerous additional features to its platform, under which multi-token trading algorithms, a unique staking system and a completely updated UI. And it didn’t stop there. With the full platform launch, premium trading algorithms became available - arguably one of the most exciting add-ons.
As Mercor is all about bringing value to its ‘Mercorians’ (Mercor users), we hold strict conditions for algorithms that can be classified as ‘premium’ on the platform. Not only should they be created by a well-established hedge fund, have a proven live track record, have successfully proven backtesting results, but also have proven efficiency in different market conditions. On top of that, the development team has to be vetted and approved by the Mercor team. We are glad to announce that the development entity we are introducing in this article happens to meet all requirements with flying colors.
Mercor is constantly on the hunt to improve and grow in order to create the best algorithmic trading platform in the DeFi space. To be the best, you have to work with the best. That’s why we would like to introduce you to Boosting Alpha.
Boosting Alpha is a trading technology provider utilizing the latest scientific approach. They develop high performing trading strategies for various assets based on artificial intelligence (AI), quantitative finance and unique data combinations.
All of their trading strategies are entirely driven by thoroughly backtested algorithms. With some of their algorithms backtested on an impressive history of 10–15 years, their developers are provided with an abundant amount of statistics. Backtesting allows simulation of challenging periods, like the 2008 financial crisis for instance. Simulations like these are making it possible for the developers to evaluate their strategies and improve them until they reach maximum returns. To know more about backtesting, scroll down to the last header.
Their cutting edge algorithms constantly gather financial, economical, social and scientific data. Subsequently, these large data sets provide unique insight and perspectives which feed into their algorithmic trading strategies. Machine learning algorithms automatically recognize alpha-factors (market-beating factors) and hard-to-identify correlations for a specific type of asset. Magic!
Boosting’s developers leverage AI to the fullest, but are not limited by it. Their algorithms are also supported by traditional quant trading methods. Besides being specialists in the crypto-world, Boosting Alpha has vast experience in trading different assets, such as FOREX, ETFs and stocks.
As if all of this isn’t enough, Boosting has put its name on the map by partnering up with major exchanges like Binance and FTX.
Whether you are an individual investor, a fund or wealth manager, or a complete novice; it’s safe to say Boosting Alpha is one of the best players in the automated trading game. Boosting is managing over 30 million USD on centralized trading platforms and has an enormous network of investors. Due to the increasing demand in DeFi investments, Boosting Alpha has not only decided to deploy its algorithms on the decentralized environment of Mercor, but also to start a deep and extensive partnership with Mercor!
Why you need to know about algorithmic trading
Algorithms? Alpha-factors? Quant trading? What in the hell are we talking about? No worries- it may sound brain twisting, but it’s here to make your life easier!
So, you are aware of the significance of investing your funds. However, banks these days will give you 1, maybe 2% interest — if anything at all — and you may consider yourself lucky if your stock portfolio does 10% annual profit. Then there’s crypto! Double your investment in a matter of seconds, thousands of percentages of profits — it’s all possible in crypto. But where and how to start, what to buy, when to sell…
The algorithms on the Mercor platform got the answers. An algorithm or ‘algo’ is nothing more than a predefined set of code, that tries to predict what the market will do as closely as possible. You can look at an algorithm as a machine or a robot that knows exactly when to buy, what to buy and when and what to sell as well.
Manually, one would buy and sell based on specific information. The more information available, the more effective the action. Algorithms make decisions based on amounts of data that are impossible for humans to grasp, making their decisions almost always the best ones.
One of the features that stands out as well, is the fact that these trading algorithms are working around the clock, non-stop. That means when you’re sleeping, on vacation, or whatever it might be: the algorithms keep investing, leading to the highest possibilities of returns.
Trading with the highest speed, the algos aim for the best prices. A ground rule of investing is that one should never include emotions in their trading. With algorithmic trading, emotional bias is completely eliminated as algo’s don’t have any!
One of the greatest features of algorithms is the ability of backtesting. Backtesting is -as the name suggests — testing the performance of the algo. It allows a trader to simulate a trading strategy using historical data to generate results and analyze risk and profitability. This way, developers can improve where needed and have your funds invested in a uniquely safe way.
Algorithmic trading requires minimal time investments, requires no trading skills at all, is relatively safe and maximizes returns. All of this and above is why algorithmic, or automated trading is the technology of the future. If you ask us, there will be a time that nobody will trade manually anymore, so be the first and join Mercor today.