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UBXT Performance Fees — Everybody Wins, or Nobody Does

The launch of phase 3 of the UpBots platform is going to be a game changer for crypto trading and investing.

Not just for UpBots, but for anyone who has considered getting into crypto but came down with a case of fear, uncertainty and doubt.

Why?

Simply put it’s because of the UpBots Performance Fees (UPFs) system.

UPFs completely challenge the current paradigm of crypto trading services like trading bots, social copy trading and others.

UPFs convert UpBots from being an all-in-one trading and investment platform into an ecosystem of success, where at every level there is financial incentive baked into the platform to ensure that users profit.

With UPFs we have created software that is coded to support our ethos that “everyone wins, or nobody does”, and the “nobody” here includes UpBots.

If you belong to one of the following categories of trader/investor this article is going to be especially of interest for you:

  1. New Recruit — beginner trader or investor with not a lot of experience but looking to get into crypto
  2. Master Trader who has extensive Technical Analysis experience and gets a kick from helping others
  3. Algorithm Developer — has built trading algos and wants to find a better way to monetize those
  4. Crypto Investor who is looking for a way to diversify their capital into new low maintenance, passively managed investment options
  5. Investors who are looking for a new passive income stream but are concerned about the volatility of the crypto markets.

So, what are UBXT Performance Fees?

In a more detailed section below I will dive into the finer points of exactly how UPFs work, but for now, at a high level, Performance Fees are the fuel that powers the UpBots UBXT Token.

More importantly, they are also the incentive system baked into the platform that ensures a unified agenda for success.

This is how it works:

  1. There is no upfront fee to use UpBots.
    This is important because we don’t think new traders should have to pay for a service that is not making them money, and where there is no alignment between their success and the platform’s success.
  2. You simply need to purchase some ERC20 UBXT (FTX, Kucoin, Sushiswap), or bridge it over from BSC, and deposit it into your UpBots a/c.
  3. When you want to use a trading bot on UpBots, you allocate some or all of your UBXT to that trading bot.
  4. You will specify the API connected exchange account you want it to trade on and the amount of the capital you have in that exchange account that you want the trading bot to trade with.
  5. The Trading Bot will trade the capital you specify and when you win, a percentage of equivalent UBXT value is taken as a performance fee from the UBXT you have allocated to the Trading Bot. So if the bot you choose to activate has 20% performance fees and after a trade you are in profit by $60, then the UPF system will deduct $12 worth of UBXT from your allocation.
  6. That fee is then split up between UpBots, the algo developer who developed the algo that powers the trading bot that won for you, the Burn Program, and the Profit Pools which feed our UBXT Staking Pools on the UpBots platform.

So if you win a trade everyone wins and everyone gets paid.

But what happens if you don’t win?

Here is where we have gone one extra step to ensure that if a user doesn’t win then really nobody wins.

First of all it’s worth noting that algorithms that pass the rigorous UpBots QA process are designed to have a configuration that ensures the upside risk is greater than downside. So for this example, let’s say the bot closes a trade in a loss. Let’s say $30 in loss.

The user is down $30 but to ensure that both UpBots and the algo developer also feel a bit of that pain, a virtual credit is created on the user’s UpBots account for an amount of UBXT equal to what the user would have won had the bot closed $30 in profit.

In this example that would be $6. On your next winning trade the first $6 of UPF you are due to pay will be taken from this virtual credit thereby further mitigating every user’s downside on every single trade.

When a user wins on UpBots, we all win. The user, UpBots itself, the algo developer, UBXT token holders, and of course UBXT stakers.

When a user loses, we all feel that pain, and so there is an additional incentive for the algo developers and master traders to build winning algorithms, an added incentive for UpBots to ensure the highest possible quality assurance on all the algos we plug into our bots.

Pretty sweet right?

There is no other trading platform that is incentivizing success for its users to this degree.

In a future article, we will be publishing soon, we will give an exact example with numbers to better illustrate exactly how these UPFs flow.

Now let’s take a step back for a moment from looking at this from a process point of view and instead let’s look at it from an investment/token point of view.

Why are UBFs important for UBXT Token Holders?

In crypto there are a lot of “utility” tokens that have close to no utility at all. This is not so with UBXT.

UBXT is a hyper utilitarian token. Without it UpBots simply does not work and without UBXT you can only scratch the surface of what is possible on UpBots.

(What follows is not investment advice, but only the opinion of this articles’ author)

For the long term viability of a token from an investment stand point the things that are most important are:
- Will the token have increasing demand?
- Will the token have decreasing supply?

These days we see quite a lot of crypto projects with the belief that if they simply burn a lot of their tokens it will positively impact the price of their token. That is not the case.

There must also be a strong desire that drives demand for the token. One side of the supply/demand equation is simply not enough alone.

A lot of people seem to believe that you drive demand with marketing. And yes you can to a certain extent but ultimately there needs to be a use case.

In the case of UBXT, there is a direct requirement of users on our platform to buy and allocate UBXT to whatever the services they wish to use are.

Every new user to the platform will be required to buy UBXT and allocate it to a bot, or stake it in a pool to earn rewards, or use it for Social Copy Trading. Or perhaps even simply hold it so they can have a say by voting through the UpBots DAO based on their holding size.

In this way the more people using UpBots, the more demand for UBXT.

On the supply side we will aggressively burn UBXT until 50% of the total supply is gone. At that point a new burning program will come into effect where UBXT will continue to be burnt ad infinitum.

So in summary, if you are holding UBXT you can democratically vote in how the company is run, and you can also profit by staking your UBXT (no unlock period) to benefit from the payout of UPFs to the staking pools.

So UPFs are great for users, and they are great for token holders, but what about algorithm developers and master traders?

Are Performance Fee’s Good for Algo Developers & Master Traders?

Yes. Really good. Really really really good in fact.

The UpBots “Everyone Wins or Nobody Does” system absolutely blows every other competitor out of the water.

In fact in many conversations I’ve personally had with Algo Dev’s it takes a substantial amount of time for me to be able to clearly explain the opportunity, such is the paradigm shift in how we are doing things.

Ultimately it’s simple: if you have mad crypto trading skills and you love helping newbies win instead of getting rekt then the opportunity to profit from helping others will pay you on an order of magnitude better than any of the other trading bot or social copy trading platforms in existence right now.

Nothing else even comes close.

It’s been incredibly satisfying for me to have the conversations with algo devs where when they fully understand the scope of the opportunity at UpBots they are eager to get involved.

And why not?

We don’t insist on exclusivity
We don’t need you to share your code

There are no fees to on-board or different tier levels

Everyone wins, or nobody does.

Phase 3 is coming soon…

In phase 3 of our commercial platform release roadmap, we open up the platform to the wider world. In phase 2 we have had a small control group of approx 100 users testing the platform for a number of weeks now.

So far those tests have gone really well and they have allowed us to make a wide range of fixes and improvements.

Next week we will launch Phase 3. When this happens the UpBots Performance Fees system will come online for everyone.

The rocket engines that power UBXT will ignite and the UpBots platform will take one small step for UBXT and one giant step for crypto trading.

Because afterwards, for everyone inside the UpBots ecosystem, well…at this stage you probably get it — everyone wins or nobody does.

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Neil Sisson

Neil Sisson

Former CMO of UpBots.com. Crypto Advocate. Coffee Addict. Carpe’ing my diem on the daily.