Hotbit AMA🎉： HotBank AMA in English Telegram
AMA content review
💗Host:Cyrus, Hotbit AMA Host
💗Guest:Fawn , Chief Investment Officer at Hotbank
Cyrus: Let’s welcome Fawn , Chief Investment Officer at Hotbank @fawnf to introduce【If you have $100K, how to maximize your passive income — Know about Hotbit VIP】to us in AMA. Thank you for being with us today. Let’s begin!
Could you please introduce yourself and Hotbank in brief, thanks!
Fawn: Hi guys, this is Fawn. CIO at Hotbit Investment, I’m responsible for all investment strategies & plans and marketing & BD.
Hotbit Investment — — As known as Hotbank, a division under Hotbit Group — is a leading asset management platform specializing in cryptocurrency assets. Investment services include Quantitative Trading, DeFi Mining, Lending to POS. Hotbank AUM exceeded US$400 Million with more than $30 million distributed rewards. Asset management services are provided for over 100 institutional clients and millions of individuals around the globe.
Cyrus: What kind of services are involved in Hotbit’s VIP-exclusive asset management services? What are the features of Hotbit’s VIP-exclusive asset management services?
Fawn: We are very grateful to what we have achieved so far. Giving back is fundamental to how Hotbit works. We offer top rates in the industry — better than our competitors on mainstream assets like BTC, ETH, and USDT. Specially for our VIP Clients. VIP services includes the following:
Investment Privilege with higher APY for Fixed products ( Higher than competitors Binance/Crypto.com/nexos or BlockFi ) .
1, Exclusive access to Hotbit Fund with dynamic return rate as follows:
- BTC : 12%- 18%
- ETH : 12% — 18%
- USDT : 15% — 25%
2, Access to Mining Funds
3, Access to private sales for quality projects in Hotbit Portfolio, find Hotbit Labs (Hotlabs) portfolio on Twitter @hot_labs
4, VIP Level Upgrade to enjoy lower trading fees in our platform.
Besides having access to those, you will benefit from :
1, Weekly and Quarterly Investment Performance Reports.
2, Exclusive withdrawal channel.
3, 24/7 Personal Hotbit Investment account manager.
4, Extra benefits such as surprises, events and others.
Cyrus: Compared with other financial service providers available on the market, what are the distinctive advantages of Hotbank?
Fawn: I will give the following points:
1, Hotbank offers higher rates than competitors Binance/Crypto.com/nexos or BlockFi.
2, The reason of which is hotBank VIP fund covers various strategies, including cross-exchange hedging arbitrage, futures and spot trading arbitrage, market neutral arbitrage, cross-period arbitrage, statistical arbitrage, inter-commodity spread, cross-exchange arbitrage, mixed arbitrage and CTA strategy of quant trading; and with the Curve-DAO voting advantage of Hotbit, we are able to boost DeFi mining profit about 2x.
3, With 24*7 real-time monitoring & high alert for abnormal retracement, HotBank is able to generate excellent returns while simultaneously mitigating risk. The team utilizes a multi-dimensional strategy that considers a variety of factors.
Cyrus: The APY of both the normal investment products and the VIP-exclusive financial plans of Hotbank are much higher than traditional investment products. What’s your opinion about this gap of APY? What’s your opinion regarding the future trend of traditional financial products and crypto assets investment?
Fawn: In the bull market, there were a lot of arbitrage opportunities. It was easier to generate high ROI which outperform the traditional market rate. Earnings are now normalizing. Capital is very smart, it always chooses to flow to higher yield products.
Cyrus: We’ve seen that a lot of DeFi projects continue to collapse recently, and that the APY of quantitative arbitrage products are also declining due to market situation. Hence, how does Hotbank manage to protect the security of the assets of all investors on its platform and obtain relatively robust incomes?
Fawn: It is our goal to obtain sustainable and competitive profit weather in bull market or bear market. Since the start of the bull market till Mid May, Hotbank’s quantitative arbitrage and DeFi mining USDT have achieved an annualized rate of return of more than 60%, and the BTC and ETH have also achieved an annualized rate of return of more than 30%. Since May.19, the yield of mainstream currencies has fallen sharply.
Negative fees have become more common amid market declines and corrections, while contracts have been more tightly regulated, speculative enthusiasm has decreased, and contract holdings have continued to decline. Contango narrowed, the contango basis return fell back to rational standard. Combined with historical profit statistics, it generally takes about a quarter to digest it after the current quarter’s yield has plummeted. During this period, yields and volatility will remain low, because it is expected that the overall market in Q3 2021 will enter a rest period with flat yields.
Despite the reduction in yield, Hotbank’s overall revenue still has a clear advantage over other revenue ends. On the premise of preparing for the winter, we will continue to plan for a possible bull market, and at the same time, we will increase the diversification of our strategies and reduce our dependence on high benchmark interest rates in the bull market. It’s a long-term race for asset management. The competition is the stability and high efficiency of long-term income. I hope we can continue to make progress together!
Cyrus: Could you please provide any investment suggestions for different types of users such as novice users, experienced users, users of small investments and high net worth users etc.? Also, which products of Hotbank are suitable for those users to purchase?
Fawn: We have many big miners customers who are long-term holders we also have most of institutional clients. Our Hotbank asset management business mainly promotes stable income products based on the currency. The goal is to ensure that the assets in everyone’s hands can generate maximum passive income under various market conditions.
If you are not sure about the asset management business, you can invest in fixed-income financial management as the ones you can find on Hotbit platform investment section, so that the returns and cycles are relatively clear, and you don’t have to bear market risks.
If you have a certain understanding of asset management business, you can also invest in floating-income asset management products, so that you can get higher expected returns where you can grasp more marketing opportunities.(e.g. We managed to accomplish 116% APY on single day of May.19 market crash and 130% on Mar.12 2021 covid crash )
Cyrus: Mining, Lending, and Quantitative Trading are businesses that have been hotly deployed. How do you view their respective advantages and similarities and differences?
Fawn: Lending business is a business that earns interest margins based on market supply and demand. Its profitability is relatively limited, and it can only be used for lending when the amount of funds reaches a certain scale. I will explain more talk about Defi mining and quantitative trading. The mining here should be referred to as DeFi liquidity mining. A very important advantage of DeFi mining is that the rate of return can be measured and predictable. Generally, everyone can see the real-time APY of current mining in each pool, that is, the rate of return. According to the output rules of the pool, it can also be calculated. The impact of the amount of new funds on the rate of return.
Quantitative trading income is characterized by dependence on market conditions. For example, Q1 was up-trend market, and the price difference between futures and current prices has been unprecedentedly high. Theoretically, the returns of futures arbitrage will be relatively high, but the three major borrowed crypto cannot be borrowed(btc/usdt/eth), so It will also have an impact on strategy returns. Its common that a qualified quantitative trading team will always say that historical performance does not represent future earnings, because no one can accurately predict the future earnings, and it is irresponsible to blindly promise a high yield.
The other is the difference in risk. The risk of DeFi mining is that the smart contract gets hacked and the asset is stolen or cannot be withdrawn. The main funds of our DeFi mining are placed in Curve, which can be regarded as the lowest risk DeFi infrastructure at present. The TVL is nearly 10 billion$. The security of which is beyond doubt and among top level.
On the other hand, the risk of quantitative trading is mainly the risk of strategy liquidation under extreme market conditions, so we will definitely understand the extreme risk points of the strategy of the investment team, and have strict control on the strategic leverage. Once we find that the leverage is inconsistent with expectations Will be removed from our portfolio. For Hotbank, quantitative trading and DeFi mining are our two weapons. We will regularly assess the difference in profitability between the two sides, and then make dynamic position allocation adjustments.
Cyrus: Now we move to the last segment of the AMA session public Q&A, Now let’s invite @fawnf to pick some good questions to answer.
@Ayh406: What is the Holiday Bonus?
Fawn: It depends on what different holiday that will be
@Astonroe: How can I join on mining? What are the process?
Fawn: If you are referring to Defi Mining, feel free to contact our team through our VIP program, you can find the details on https://www.hotbit.io/invest/vip
@freddie9800: What are those benefits that each user would get by Hotbank VIP fund?
Fawn: Higher APY, higher return chance, better investment products and apply for lower trading fee!
Cyrus: Thank you. The above is all for today’s AMA. If you want to know more about HotBank or have more questions about HotBank, please check
HotBank’s website and community links can be found here.
Official Website: https://www.hotbit.io/invest