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How TradeLink Identifies Dishonest Cryptocurrency Traders

Oct. 22, 2021 12:36 PM ET
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Today, the capitalization of the cryptocurrency market exceeds $2.5 trillion and it continues to increase as the value of digital assets rises. Most recently, Bitcoin surpassed the $60,000 mark, pushing the price of major altcoins and DeFi tokens higher. At that moment, hundreds of fraudsters, who pretend to be professional traders and fake real trading results to deceive gullible investors, started entering this growing market. Moreover, not only traders but also cryptocurrency exchanges are falsifying this information. A recent report by Bitwise Asset Management said that cryptocurrency exchange “BitcoinExchanges” forged trading results that were presented on CoinMarketCap. Other exchanges such as Bitforex, Huobi, OKEx, and several others have also been found to be deceptive.

To prevent falsification of information about trading volume, both of a particular trader and exchanges in general, today, there are special analytical tools that allow you to analyze information from portfolios of traders and display the real results of a particular trading participant. Let's see how it works below.

There is no way to hide the fraud: how does the platform detect fake trading volume?

One of the most effective tools for tracking trade volume is the TradeLink platform. It can analyze information from cryptocurrency traders' portfolios and confirm or deny their trading performance. The data is analyzed through API keys that are read-only, so traders can be calm about the safety of their deposits. Due to the use of such keys, it is impossible to manipulate the trading account at the exchange.

The platform can analyze different indicators of cryptocurrency traders' profiles in real-time. As a result of the analytical work, it creates a rating of traders who are rated according to the following indicators:

  • Profitability;

  • Maximum drawdown;

  • Trading account balance

  • Absolute profit

  • etc.

As of today, TradeLink cooperates with 4 leading cryptocurrency exchanges:

  • FTX;

  • ByBit;

  • Binance;

  • BitMEX.

In the near future, this list will be joined by Okex, Coinbase, and many other cryptocurrency exchanges.

The main partner and investor of the TradeLink project are QuantHill – the algorithmic trading and investment fund.

To increase the effectiveness of traders, the TradeLink platform has many tools and indicators to analyze the trading process. At this moment, their number is already approaching 30. The analytical panel will show the profitability for a certain period, the commission paid, the maximum time in drawdown, and much more. The developers are constantly upgrading the platform, adding new options and features. So, just recently, users have the ability to show trading results on their website through the widget.

In the near future, there will be a trader's diary in which each transaction of the trader will be saved. Aftermarket investigation, it was found that this is an essential thing for stable and profitable trading.

"The trader's diary is a strong tool for professional market participants and those who want to develop trading from a hobby into a professional activity. "Your trading statistics are you, but in numbers. Every trade, no matter if it is profitable or unprofitable, is followed by a number of circumstances and certain psychological states which lead to the result. Accounting and analyzing will help you understand what you are doing wrong, which sequence of actions leads to the desired results, and which leads to losses. The main problem with this tool is discipline. The constant diary filling is often more difficult for traders than managing risks and the accuracy of the details level directly influences the productivity of this tool. That's why we at TradeLink create a maximally automated trader's diary, making it easier to fill, on the one hand, and collecting data for comprehensive analysis of traders' trading, on the other hand", - says George Brichkovsky, CPO and CoFounder Tradelink.

Opportunities for investors and more:

As Yuri Avdeev, CoFounder of TradeLink, explains, the platform is designed not only for traders, but also for investors who want to manage their own accounts without worrying about their safety. They can monitor their status 24/7 and follow traders' reports in real-time. Investors can check the trader's history, look through their portfolio and choose only trusted traders from the platform's independent rating before they entrust their funds.

To invest through the TradeLink platform, just follow a few simple steps:

  • Complete a simple registration;

  • Find a manager in the rating or marketplace;

  • Connect your trading account of the crypto exchange;

  • Receive information about the trader's work 24 /7 online.

Traders are also interested in working on the TradeLink platform because it gives them the opportunity to attract investors, take part in ratings of the best traders, compete and earn achievements upon participation in tournaments.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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