Thanks to Crypto Daku for hosting AlphaNu’s first AMA (Ask Me Anything). Cypto Daku is a well known crypto influencer with a very lively Telegram chat group. This AMA not only allows his followers to learn more about AlphaNu and its team, but also to discuss and share various ideas.
We have compiled the TOP 10 questions & answers:
( Note: This AMA has been edited for clarity )
1. What makes AlphaNu unique?
We are unique in that we are the only platform right now that Wall Street developers will be able to gain easy access to historical trading data from China, which is very hard to get.
2. Is this a blockchain project ?
Yes, ANU tokens will be used on our platform. And we are still considering which blockchain to use as part of our service, with many great public chains out there such as Stellar, Ont.
3. How does HFT allow large companies to profit?
HFT, or high frequency trading, requires SUBSTAINTIAL upfront investment for the fastest computer chips and best mainframes, which can be easily tens of millions of dollars. These are resources that normal investors can’t afford to put up. Thus, only the big corporations can run these strategies because of their big bank accounts
4. What are the advantages of On- premise trading
Our solution is a mix of cloud and on-premise technologies that are directly connected to brokerages. On-premise provides lower latencies but the key is in the infrastructure setup between the execution of the trade and the algorithm — with our relationships, we are able to deduce the best places and locations to put up our core facilities and then offer the algorithm strategies through cloud.
5. Are you guys working or partnering with some brokerage firms to bring customer attention to your platform?
Yes, we are partnering with Chinese brokerage firms to allow their clients access to our platform. It’s beneficial to the brokerage firms because in general, algorithms do higher trading volume than manual trading. Thus, brokerages will see high commission revenue as a result of increased trading volume
6. Does your algorithm has something to handle by traders manually ( entering/feeding ) ?
Yes, quant trading involves data (price, volume, etc.) being fed into the algorithms, which then compute it to decide whether to make a trade or not. No, the algorithms on our platform will be fully automated trading, meaning that traders just sit back and relax. They don’t have to do any manual entering work
7. Is it even legal to use scripts and algorithms in trading in major countries?
Yes, major countries allow algo trading. It’s just that normal investors don’t have access to algorithms to help them execute their trading because of affordability issues. If the cost for initial set up is huge, then it would not be cost effective for small traders.
8. Transaction Mechanism to Automate Revenue Contracts in simple layman terms. How are people gonna benefit from it?
Foreigners are not allowed to participate in the Chinese financial markets. our revenue contracts allow people to indirectly participate by allowing them to purchase future revenue streams from algorithms and they believe will sell well with Chinese investors
9. If everyone uses the same strategy, then the strategy become useless, how do you intend to solve that problem? if too many people start using only the “best” algorithm.
In trading, there’s a capacity in terms of how many people can use each strategy before it becomes useless. Developers will decide themselves how many subscribers they can take on and price the algos accordingly
10. Can you give us a quick overview of all the elements that make up the Alphanu? After being listed on Bitforex ? Would you mind sharing with us some future plans?
After Bitforex listing, we will be doing roadshows across Asia, and especially China, so more people will know our story. We will also be looking at a second listing with another exchange to allow for more project backers to get access to our coin.