Virtu' trading bot whose public track record shown shows ONE trading DAY loss in 6 YEARS of flawless profitability, http://www.zerohedge.com/news/2015-04-16/virtu-explains-why-it-lost-money-just-one-trading-day-6-years
Interesting to add that Virtu also went public to raise more money even though they had this instance profitable bot with only one trading day loss in 6 years.
If you read the linked article on virtu trading, the only way it achieved its results was because the market consistently rose. If bitconnect is the same, it will fail in the event of a down turn in the price of bitcoin. As the market has been rising this year and they pay out returns in dollars not btc, they could have prob just held the btc and sold it when needed to make redemptions! They would still make a profit. Let's see what happens if the price of btc crashes for a sustained period
Yes, if the price of btc crashes we will see for sure what is going over there. I agree.
Virtu made their money from their Algo from frontrunning orders - market goes up or down is irrelevant.
Pls take a look at my post and let me know your thoughts on the point that btc prices falls:
https://steemit.com/cryptocurrency/@ka82/bitconnect-investment
Good citation. I saw that article as well, but it couldn't maintain these kind of gains.
As the article in your link points out:
" the market has become a regulator-endorsed cesspool of HFT fraud, where the algos make all the money due to countless predatory and parasitic practice"