AI Driven Quantitative Trading Models

Integrating Artificial Intelligence (AI) with quantitative trading models signifies a major advancement in which retail and institutional firms will approach cryptocurrency trading, primarily within decentralised perpetual futures, due to the current sophistication of the traders and algorithmic involvement in the markets being much lower than with traditional finance.

The split between discretionary and algorithmic or computer-driven trading is still very asymmetric in perpetual futures markets. Enabling a large alpha generation from quantitative models that aim to utilise volumetric factor models to outperform the regular investor.

A large alpha opportunity appears by introducing quantitative finance models on top of an asset class predominantly dominated by discretionary investing and highly emotional decision-making.

Enabling quantitative models that can formulate super-rational trade decisions based on their ability to price in the available volumetric data that feeds into the mathematical model to execute trading signals.