Topic: [AUTOTRADE]BTC hedge fund by BtcAutoTrader(The first automated BTC hedge fund) - page 9. (Read 37121 times)

agree what you said.

buy low and sell high and away, i did it with a little profit this morning and bye 

Its just not going to happen. They are what you call financially screwed!
They tried getting an investor to "bail" them out.. But they said no... Sell your shares now while they are still worth something... I took a 30% hit and coins now in cold storage to regain the fiat loss.

In US Dollar business you can make up to 2 % ROI every month in arbitrage. With approx. 8 % you are doing fine, your capital of 750 XBT is just too small and the market probably not big enough for more. You know it better.

Running a fund is a hard business. Good luck and I do believe in a good solution for you and for the shareholders

Reserved I'll look it.

We introduced when AUTOTRADE IPO, our team is 8 people.
We have members to monitor BtcAutoTrader for 7x24, some emergency need need manual processing.
Now everyone's costs in 9 k ~ 15 k/month.
In addition, office area, computer depletion, water and electricity fee, internet fee and many other operating charges.

How does an automated hedge fund cost 100000k a month?

Dear AUTOTRADE investors,
Dear users and distributors have been paid,
Dear users and distributors want to buy,

We are very very sorry,We didn't expect new products will bring so good/bad effect.
Now our great pressure,We don't hope you misunderstand our intention.
We decided to suspend the sale of BtcAutoTrader,
Please give us a little time to listen to our explanation,
and whether to continue to sell BtcAutoTrader,
We will launch a vote as soon as possible, please wait patiently.
Thank you very much.

Best regards.
Your AUTOTRADE Team.

Dear lynn_402,

The loss paid from Our own start-up capital,Once VC plan to invest in our company, promises to solve our loss problems, but because of the negotiation process BTC price from 5000 RMB to fall lowest 2500 RMB, they feel that the risk is too high, so they recently terminated negotiations.

A fat one, too? Lookin' forward!

I do believe I hear a fat lady warming up.

we've been scammed... DUMP!

Beyond the reportedly exorbitant expenses and the fact that they don't understand that 'profits' are what's left over after expenses, you guys might question why they moved into selling software (their competitive advantage, even) when the stated purpose of the fund was for arbitrage (or 'hedging' as they call it).

Good analysis, Devos. I'd like to add that it's weird how the dividends have been always perfectly consistent, in weeks of high volatility and in weeks of low volatility. It's also suspicious how the considerable problem of running at a 50% loss per week has only been adressed three months after IPO, two days before the last shares were sold. If this is another of those scams that seemed fulled of potential (like neobee..), I'll give up and put all my coins in cold storage

It seems to me that the main problem is that they are following a fixed dividend system regardless of their costs, profits, or losses.

If they had, for example, not made a single trade - even if their cost overrun estimates are correct they would still have about 500-700 BTC of capital from investors left.

I don't say that this is what they are doing - I just mean that there is no information contained in their payment of dividends (which has scaled linearly with the amount of invested capital) to suggest their ROIC or any other business metric.

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Let me put it another way. The contract has two, contradictory explanations of how dividends will be paid out. It says:


and


It is obvious - to me at least - but hopefully to anyone observing the dividend payments which of these two obligations is being observed. And it would be, I dare to suggest, neigh-impossible for both of these statements to be so consistently true at the same time.

What really boggles my mind is that if they were going to follow a set plan for the distribution of funds - regardless of their actual trading income - they would set it at a level that would not cover even half of their claimed operating costs (which one assumes they had to know before they started).

So again, I would return to the call for a balance sheet and perhaps the real numbers related to trading.

The signs indicate to me that the "profits" they have reported at each dividend period have no relationship whatsoever to any trading that has been done and are being paid out strictly based on how much capital has actually been invested in this project.

---

I would love to be wrong about what the numbers seem to be suggesting, and perhaps there is a good explanation.

some days ago i read an interview text from Autotrade in chinese boards here, it was said that some of autotrade team member had about 60000 autotrade shares personally. if they play '' bump-pump'' game and run buy-back, it would be really a nightmare.

hopefully i thought in wrong direction. but current price really made me lose money as an investor.  

I would happily take the hit to get 0.00001300 per share.

I was hesitant to make it publicly available, but it is unfair for potential share-buyers to not be aware of this.
Here's the info they sent by e-mail.
http://pastebin.com/X3MR1kWA

A complete financial report would be good it they published and they should also publish the info they send out in mails to some that made there email visible at cryptostocks so all can read it.

We don't know if there still is 760 of the 800 raised BTC; it is not exact that all expenses are paid, and the company could have been running at a loss since a long while now. I would not sell at these ridiculous prices, but I understand those who do since there is much uncertainty in this situation; a complete financial report would be greatly appreciated. And actually, after Neobee and all the other failures, panic selling at a considerable percentage of IPO price is quite understandable...