HodlBot is a trading bot which offers cryptocurrency traders an opportunity to index the market and create custom portfolios and strategies whilst automatically rebalancing their positions.
Currently HodlBot can only be used through Binance and Kraken however in the coming months more exchanges will be added along with the aim of on-boarding popular wallets. With retail investors having the opportunity to utilize institution level portfolio management software the possibilities are very interesting and provide a popular risk mitigation strategy whilst improving returns.
Looking more deeply into the Platform, HodlBot offers:
With the market fluctuating often and cryptocurrency struggling to follow fundamentals it becomes very difficult and tedious to create a portfolio strategy. Cryptocurrency indices allows you to diversify your portfolio across the market without having to adjust your position daily and offer a go to start portfolio especially handy for new to crypto traders. All indexes are financially engineered to track the performance and risk of the entire market.
There are currently 4 indexes on offer catering to all different account sizes.
HODL30: The top 30 coins index which captures ~92% of the total market cap weighted by square root market cap. The suggested account size for this strategy is around $900.
HODL20: Top 20 Coins weighted by market cap (10% Cap) with a suggested account size of $600.
HODL10: Top 10 coins weighted by square-root market cap. The suggested account size for this Index is around $300.
Coinbase Index: Portfolio of coins listed on Coinbase.
If you are interested in finding your own customized portfolio strategies HodlBot offers the option to create, back-test, execute and rebalance your portfolio selecting any coins and a weighting strategy. With the ability to see how your strategy would have performed in the past you can create your portfolio to consist of as many or as little coins as you like.
With the crypto market constantly shifting and coins dropping in and out of the market HodlBot automatically rebalances your portfolio meaning you can keep your target allocation in line along with save yourself the time and effort of consistently adjusting manually.
Personally Tailored Adjustments:
Options to select how often your portfolio is adjusted, black list coins you would like to not have included along with having the ability to liquidate your assets
Connects to your Crypto Exchange:
Through exchange API’s HodlBot can execute trades whilst you remain in sole ownership of your cryptocurrency. With no withdrawal permissions and encrypted Data, it offers a secure method of automated trading.
BTC vs. HodlBot who wins?
Over a 3 year period, Bitcoin was up by a factor of 42x. HODL 20 with no rebalancing was up a factor of 51x and the HODL 20 with monthly rebalancing was up a factor of 164x.
Based on this 3 year term the HODL 20 far out performs BTC. You can play around using the back test function in HodlBot to test other comparisons of indices or strategies to decide how you will move forward!
HodlBot is free for accounts under $500 portfolio size so it caters for the trade who is just starting our or who wants to test indexes or customized portfolios. For portfolio’s which are over $500 it costs $10 per month which is payable in cryptocurrency – There is also a 14 day free trial to test everything out before you are charged.
How to Get Started?
To get started and begin using HodlBot’s Platform there is 3 simple steps:
- Sign Up
- Connect Exchange
- Create or Select your Strategy
HodlBot will then do the rest and you are well on your way to an automated rebalanced portfolio!
Learn More about HodlBot.io
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