If you ask day-traders “what they like the most about cryptocurrency?”, they will say “the volatility!”. We are talking about 20% to even 70% price difference daily or weekly. This kind of volatility never exist in the equity market where there is literally no volatility. Many day-traders look at the volatility as a chance of earning big money. According to an article of Cory Mitchell, 95.5% of traders lose money. One of the main reasons of such a high failure rate is human emotion. Traders always let emotions get into their ways, which cause them to make stupid decisions.
In this article I am going to talk about a project called the Signals Network. Signals Network aims to create a trading platform with the latest technology of big data and machine learning. These technologies will make trading into a pure numbers game, with no emotion involved. Using data science as trading strategies is not a new thing, but today it is only available for some professional traders and programmers. Signals Network wants to make these technologies available to everyone in the cryptocurrency world. Furthermore, they promise that no technical knowledge is required in order to use the Signals Platform.
The founders of Signals Network
Team
Their team consists of more than 20 experts in machine learning, blockchain and trading. 9 core members are listed on the website and they all have a very solid technical background. Zdeňka Šeděnka, one of their data scientists had even conducted a machine learning research funded by DARPA. At the marketing side, they have Benn Godenzi, who is the Director of Marketing for Aion, STK token and CryotoCurve, as one of their advisors. Another stand-out advisor is Philip Staehelin, who is the former Managing Partner of Roland Berger. Overall, they all have extensive experiences in the relevant fields and I believe that they will be able to deliver what is promised to the investors.
How does the Signals Platform works?
There are 4 steps basically.
You will have at your disposal different types of indicators, from basic technical analysis indicators to sentiment analysis indicators and machine learning based indicators. Simply “drag” and “drop” the indicators that you need to assemble you own trading strategy.
You will be able to experience and backtest you strategy with historical data first before spending some real money. Signals platform will have optimization algorithms and supportive analytics to perfect the settings of your model.
Once your are confident with your strategy, you can connect it to your cryptocurrency exchanges and start to make profits.
Finally, you will also be able to share and monetize your strategy in the Signals Platform. Other users will be able pay and copy-trade with your strategy.
More details about the Signals Platform can be found in their whitepaper. I found their whitepaper very interesting to read and it is available in 7 different languages. I strongly suggest you to have a look at it before investing.
Partnership
Signals Network has already announced three partnerships. One of them is iExec, which provide solutions for decentralized cloud-computing. With such a powerful supercomputer, it will be possible to use machine-learning algorithms to process a large amount of data. Signals also have a partnership with Foxconn’s SafeDX, which will allow Signals Network to have the access to terabytes of data in the cryptocurrency market.
Token
Signal Token (SGN) is a utility token based on Ethereum blockchain. As some of you might have guessed, users will have to pay with SGN tokens in order to use all the features of the Signals Platform. In the other way, SGN tokens can be earned through selling your trading strategies or data sets.
Token sale
The presale has already finished and they successfully sold $500,000 worth of SGNs in only a few days. The main sale started yesterday and it will run until 9th April or until the hard cap is met.
Soft cap: 2M
Hard cap: 18M
Total supply: 185M
Available for token sale: 92.5M (50%)
Token price: 1ETH = 3200 SGNs
Market cap: Around 30M
Signals Platform alpha
Summary
Signals Network aims to create a trading platform with machine-learning based indicators and other tools, in order to help crypto traders make more profits. The team is very strong and has a very technical background. Three important partnerships have also been established. An alpha of the Strategy Marketplace has been released and the interface is very user-friendly. However, Signals Network will face some competition from Covesting (copy-trading platforms), Alphacat (investment platform powered by AI and big data) or Enigma (data-driven investment platform). The success of Signals Network will rely on whether they can attract a large number of traders to use their platform. We are still in the early stage of blockchain-revolution and there will certainly have enough space for more than one player in the same field.
