Invest in Lambo: ~ 60% APY in USDT
Waves.Exchange’s new investment product enables users to earn about 60% annually from investing their crypto in an algorithmic trading strategy with balanced risk/profit ratio.
Waves.Exchange is proud to announce Lambo — a new product allowing users to invest in an algorithmic trading strategy with the most balanced risk/profit ratio: The annual reward of about 60% is provided by the lowest risk compared to other algorithmic trading strategies. Due to the trading strategy’s adjustment, the maximum drawdown of the Lambo investor’s portfolio cannot be deeper than 10%.
How it works
Lambo is an algorithmic investment strategy and investment in it works similarly to other Waves.Exchange algotrading investments. A user provides liquidity to a smart contract in the Waves network in exchange for LAMBO tokens, which are backed by assets in the smart contract. The amount of a user’s LAMBO tokens corresponds to their share in the algorithmic trading pool. Users’ assets are proxied to algorithmic trading strategies across multiple decentralized exchanges, including BitMEX, Binance, OKEx and others. Part of this liquidity is also used by trading bots on Waves.Exchange.
At time of launch, the only available asset for investing in Lambo is USDT. Later, other assets will become available as well.
Every 24 hours, between 11 am and 12 pm UTC (upd. April 29, 2021), a trading day’s results are finalized: algorithmic trading bots lock in profits or losses in a smart contract by a transaction. For instance, if the bots were able to earn 100,000 USDT in 24 hours, that amount will be added to the smart contract, increasing the value of the liquidity providers’ USDTLAMBO tokens.
To withdraw funds, a user has to return their LAMBO tokens to the smart contract and initiate the withdrawal process. The actual withdrawal will take place after the trading day results’ finalization, that is between 11 am and 12 pm UTC (upd. April 29, 2021).
Risks
Investment in algorithmic trading entails two kinds of risks:
1. Counterparty risks. Algorithmic trading strategies could suffer from centralized exchanges’ down time, asset withdrawal issues or an account’s suspension. Although over the last three years, Waves.Exchange hasn’t faced problems of that kind, these potential risks exist.
2. Drawdown risks. The default maximum drawdown for Lambo strategy is 10%. This means there is a risk that the LAMBO token’s price could fall by 10% from the high-water mark, but no more than that.
How to invest in Lambo
To invest in algorithmic trading, perform these simple steps:
1. Carefully study the risks that investment in algorithmic trading entails.
2. Deposit USDT to Waves.Exchange.
3. Go to the Lambo Investments page in the Investment section.
4. Specify the amount of USDT to invest.
5. After the end of a trading period, your USDTLAMBO assets will be unlocked in a smart contract. You’ll be able to withdraw them on the Lambo Investments page in the transaction section by hitting the Withdraw button.
More information about the product is available in our FAQ.
