Flywheel
What is a Flywheel Strategy?
The Flywheel is a strategy based on dual-investment financial products to automatically buy-low, sell-high by earning interest and price appreciation.
Arbitrage Loop: Utilizing the buy-low and sell-high directions based on dual-currency financial products for circular investment arbitrage.
U-Denominated Returns: Investing in USDT, using dual-currency financial products for buy-low, after successful buy-low, taking profits, earning interest income from the price difference.
Operating Mode Introduction
Basic Mode
Buying and selling coins method: Use the buy-low direction to buy coins within a fixed price range, and after successful purchase, sell coins in the profit-taking direction.Terminology
Explanation
Target buy price: The target price at which you want to purchase cryptocurrency. Before successful bottom fishing, you will continue to use dual-investment financial products for buy low to earn interest.
Sell by buy price: Use the buy coin price at the time of successful buy-low as the selling price for profit-taking.
Sell coin price: The target price at which you want to sell crypto currency. After successful buy-low, you will continue to use dual-investment financial products for selling coins to earn interest.
Minimum annualized return: The minimum APY you expect to receive. When reinvesting, it will serve as a selection criterion for dual-investment financial products.
Longest settlement period: The longest investment period you can accept. When reinvesting, it will serve as a selection criterion for dual-investment financial products.
Operating Rules
After opening an order, the flywheel bot will first buy low according to the target buy price. Before a successful purchase, it will continuously reinvest your principal and interest in the same target price dual-investment financial product. After successful buy-low, it will automatically invest your coin balance in the sell-high direction of the dual-currency financial product to earn interest, until the sale is successful. It will then continue to operate according to the above rules to earn interest and price differential income for you.
Advanced Mode
Buying and selling coins method: Use the flywheel bot to buy coins within a floating price range determined by the market price, and after a successful purchase, sell coins in the profit-taking direction.Terminology
Explanation
Buy when market price drops a ratio: The percentage by which you want to purchase cryptocurrency as the market price drops, setting the purchase price based on the current market price drop ratio.
Sell by buy price: Use the buy coin price at the time of successful buy-low as the selling price.
Profit-taking by buying price increases a ratio: The percentage increase you want before selling the crypto currency after buying it.
Minimum annualized return: The minimum APY you expect to receive. When reinvesting, it will serve as a selection criterion for dual-investment financial products.
Longest settlement period: The longest investment period you can accept. When reinvesting, it will serve as a selection criterion for dual-investment financial products.
Operating Rules
After opening an order, the system will automatically search for the dual-investment financial low buy product with the buy coin price closest to the market price * (1 - market price drop ratio). Before a successful purchase, it will continuously reinvest your principal and interest in the buy-low bot product with the same drop ratio. After successful buy-low, it will automatically invest the coin balance in the profit-taking bot until the sale is successful. It will then continue to operate according to the above rules to earn interest and price differential income for you.
Example Teaching
If a user chooses the basic mode, sets the BTC buy coin price at 75,000 USDT, requires a minimum annualized return of 10%, and a maximum settlement period of 30 days, while also setting the buy coin price for profit-taking. When the bot is running, it will search for the buy-low dual-investment financial product direction at 75,000 USDT or closest to 75,000 USDT for BTC, while excluding products with an APY below 10% and a settlement period longer than 30 days. If at maturity, the settlement price is higher than 75,000 USDT, the bot will earn interest income and continue to reinvest the principal and interest at the buy coin price of 75,000 USDT in the dual-currency financial low buy product.
If at maturity, the settlement price is less than or equal to 75,000 USDT, the bot will buy BTC at 75,000 USDT. After the purchase, the user will take profit at the buying price, i.e., choose the dual-investment financial sell-high product at 75,000 USDT.When selecting the profit-taking product, it still needs to meet the minimum annualized return requirement of 10% and a maximum settlement period of 30 days; if at maturity of the profit-taking product, the settlement price is less than 75,000 USDT, the user earns BTC interest income and continues the profit-taking operation. If at maturity the settlement price is greater than or equal to 75,000 USDT, the bot will sell BTC at 75,000 USDT. At this point, the user holds USDT and then buys BTC at 75,000 USDT to continue the arbitrage loop.
Risk Reminders and Notes:
During the holding of dual-investment products by flywheel strategy, only the reservation stop strategy is allowed. After making a reservation stop, funds can only be redeemed after the settlement of the dual-investment financial products is completed.
In case of violent market fluctuations, suitable dual-currency financial products may not be matched. In such cases, users can choose to stop the strategy manually or wait until a successful match is made.
When the bot's funds do not meet the minimum investment requirement of dual-investment financial products during operation, the bot cannot match new dual-investment financial products.