Cryptocurrency News With URL like

Bid-Ask Spreads on the Binance Exchange
This piece is the second of a three-piece series. We're covering bid-ask spreads in this one. The first and third pieces cover order-book depth and slippage, respectively. Recall that an order book is just an electronic list of bids and asks for an asset, organized by price level. A bid refers to the highest amount of price you are willing to pay for an asset. An ask refers to the lowest amount of money you are willing to sell your asset for. The gap between the highest price someone is willing to pay for an asset, and the lowest price someone is willing to sell it for, is known as the bid-ask spread.

An Analysis of Order Book Depth on Binance
This piece is the first of a three-piece series. We're covering order book depth in this one. The second and third pieces cover bid-ask spreads and slippage, respectively. Binance consistently ranks as the #1 exchange by trading volume across market data aggregation sites like Coinmarketcap and Blockchain Transparency Institute. But pundits know that trading volume is an unreliable metric. Almost every cryptocurrency exchange reports larger trading volumes than what they actually have. On the other hand, order book data is significantly more trustworthy. You can test the validity of an order book by executing an order against it. Only an exchange completely out of their wits would try to tamper with its order book. It's a completely reckless, fraudulent, and self-destructive move.

Constructing Cryptocurrency Indices - Performance & Methodology
At HodlBot, we don't make bets on individual coins. The cryptocurrency market is irrational and fundamental cryptocurrency valuations are not well understood. Coins fall in and out of favour in a way that is hard to predict. Take XRP as an example. Despite not being a truly decentralized cryptocurrency, it shot past ETH for the #2 spot earlier this week. While we don't have an opinion on how the market prices individual coins, we are confident that the price and value of cryptocurrencies will increase in the long run. We're firm believers in the underlying technology. I know that the asset class will grow, but I don't know who the winners will be.

A Thorough Investigation of the VIA Coin & SYS Coin "Binance Hack"
Illustration by the talented John Wu Those of you who follow me know that I'm the founder of HodlBot. We built an easy way to diversify your cryptocurrency portfolio across the top 20 coins by market cap. Right now, our platform works on top of Binances API. So when I read that Binance had been potentially hacked for $45 million last week, I was left feeling uneasy. Since then, the storm has blown over; Binance announced that funds are safe and they would be covering any losses. But I still feel unsatisfied. News coverage of the incident was extremely poor, there was little information released, and rumours are spreading like wildfire.

An Overview of Bitcoin ETFs
These days, Bitcoin ETFs are the talk of the town. The market is in dire need of a rally, and investors believe institutional money flowing in from ETFs will do just that. Many speculators blame the most recent rout in the market on the SEC once again postponing Bitcoin ETFs. Needless to say, there is a lot of uncertainty and buzz surrounding Bitcoin ETFs right now. To unpack what's going on, I'm going to first explain how ETFs work. Then we're going to examine the two main types of Bitcoin ETFs being proposed and look at why the SEC has chosen to reject all proposals thus far. Finally we'll look at the implications of how ETFs will affect the market.

An Intelligent Cryptocurrency Trading Bot for Everyday Investors
We launched HodlBot in early April 2018 with the goal of democratizing investing for everyday people?. Our MVP was a simple cryptocurrency index called the HODL20 that anyone could invest in. All you needed was a Binance account. The HODL20 tracked the performance of the top 20 coins by market cap and made up of 87% of the entire cryptocurrency market cap. *HODL20 allocation as of March 25, 2018. Each coin is capped at 10%. Excess is re-distributed to holdings less than 10%. The default rebalancing period was one month.* It's been 5 months since we've launched. We've shipped a ton of updates to our product and I'm excitedto share with all of you what we've been cooking up.

Simulating Portfolio Rebalances When Does it Pay to Rebalance
Imagine that your portfolio is comprised 50/50 of assets A and B. When the market shifts, the two assets not will always move in the same direction. Therefore, the portfolio will eventually drift away from its target allocation. To maintain 50/50 composition, some of the better-performing assets must be sold in order to purchase the poorly performing asset. This is known as rebalancing. Portfolio rebalancing is usually used by investors to maintain their original asset allocations and risk level. Sometimes, rebalancing can even be used to capture excess returns. It is a countercyclical strategy because it increases the allocation to the assets losing in value and decreases the allocation to the assets rising in value. Put simply, rebalancing gives investors the opportunity to systematically sell high and buy low?.

The Three Types of Crypto Traders that are Kicking your Ass
The 3 Types of Cryptocurrency Traders that are Kicking Your Ass For an investor to outperform the market, someone else must underperform.That is a simple arithmetic fact. In a fair and regulated environment, investors have equal access to information. Winners and losers are determined by whoever can make a better prediction. But cryptocurrency is the wild, wild west. Market participants don't play fair and they can profit at the expense of others. Here are the three types of traders that are kicking your ass Under Rule 10b5'1, the SEC defines insider trading as any securities transaction made when the person behind the trade is aware of nonpublic material information. Insider trading is illegal in almost all traditional markets. In a research paper published in 2010, Qin Lei found empirical evidence that insiders were able to consistently beat the stock market.

How Many Cryptocurrencies Are Simply Following the Market
In the last few days, we've experienced a massive rout in the cryptocurrency market. Skeptics are laughing, traders are fleeing , and even HODLers are worried that the sky is going to fall. The home page of coinmarketcap is awash in a sea of red. And as if by some strange design, every 7 day price graph looks like they've been lazily copy pasted from coin to coin. The market has seen better days. In times like these we have to wonder: This topic has long plagued my curiosity. So, I'm going to analyze the historical data and attempt to answer the following questions: We're going to analyze 2 years of historical data from Coinmarketcap (CMC) from June 22, 2016 to June 20, 2018.

Binance Bots - A Roadmap for the Future
Credit to John Wu for this illustration Those of you who follow me know that I'm the founder of HodlBot. We built an easy way to diversify your cryptocurrency portfolio across the top 20 coins by market cap. Right now, our platform works on top of Binances API. So I was very disappointed to read that Binance had warned users to not give any third-party service providers access to your personal API key in an official announcement regarding the SYS incident This kind of unilateral statement punishes both negligent trading bots as well as security conscious ones like ours. I can understand why Binance has been unsupportive of commercial trading bots. The more people who use 3rd party bots, the more likely one will be compromised (some may even be a scam). When API keys are compromised and an attack happens, it's not the bot that gets plastered all over the news. It's Binance's brand and reputation that gets put on the line.

The Cryptocurrency Market is No Exception There is NO Best Rebalancing Period
At Hodlbot, we automatically rebalance people's cryptocurrency portfolios. So inevitably, one of the most common questions I get is, what is the best rebalancing period I attempted to answer this in my last article by simulating 100,000 portfolios using the Monte Carlo method and found more frequent rebalancing did not have any effect. But, many of my readers & followers were not satisfied. A lot of investors are under the impression that there is something special about the cryptocurrency market something that gives an edge to more frequent rebalancing. I've never been one to shy away from data. So in this article, I will be investigating the impact of rebalancing frequency on portfolio returns by running backtests on historical cryptocurrency market data.

Beware Cryptocurrencies - 51% Attacks Are Now for Rent
In order to remain decentralized, cryptocurrencies using a proof of work system must not allow a single party to control the majority of total hashing power. But as the global pool of hashing power grows more liquid, cryptocurrencies need to pass another important test. They must be able to resist an attack from the total rentable global hashing power for their specific algorithm. Otherwise, arbitrageurs may find it financially attractive to rent hashing power in order to perform 51% attacks. There are a few things preventing this from happening: But times are changing. The mining market is becoming more liquid.

Titles not entered by Crypto.BI are Copyright(©) their original authors.