AICoin Model Trading Competition Terms & Conditions
A vote was passed by the Collective in November 2018 to allow XAI holders to participate in a competition to trade cryptocurrency set aside for this purpose.
Traders will be able to hold long or short positions in the following markets.
Before the trader is given access to the Live – For Profit account, they must first demonstrate that their models make money in the paper trade environment for a month. At the start of the next month, models that are profitable, will feed trades placed in the demonstration environment into the Live – For Profit environment as well. The trader doesn’t have to do anything but continue to trade as usual. Panxora’s software will manage the live order placement. The live account is seeded with $250,000.
Trading positions will be pro-rated across all the traders that have been profitable in the previous month, in the Live – For Profit Pool. If there are 5 live traders, then each trader will have $50,000 of the $250,000 trading capital allocated to their use. If the pool’s profit is increased to $500,000 and there are 5 live traders, then each trader will have $100,000 allocated to their use.
At the end of each month, if the month has been profitable, 5% of those profits generated will be split across all live traders and paid out as a bounty reward. [See section: How is the PnL Distributed – stakes]
Requirements to Participate
- All accounts must be verified before they can participate. (Unfortunately, at this time we cannot accept residents of the United States into the competition). The account verification takes place on the Panxora exchange demonstration platform. You do not have to repeat this process if you have already completed account verification and have access to a Panxora Live Trading Account.
- All trades must be placed through the Panxora API. We will be making 3rd party products for generating trading systems available to assist if you are not an experienced developer. Please email [email protected] with your account name to ask for API whitelisting. Please also state that you are applying to take part in the AICoin Model Trading Competition.
- All participants must hold a minimum of 10,000 XAI tokens (current price approx. $0.02 per token) to participate in the competition. The XAI can purchased through a Live Panxora account or through the AICoin dashboard. The 10,000 XAI can be held in your AICoin dashboard account or a validated external address on the Ethereum blockchain with cryptographic proof of ownership. The XAI must be present before the start of model trading in each month you are competing. If the XAI are removed then the trading will be halted at the end of the current month (the participant can continue trading in the current month). These XAI are your property, it is not a fee for participation.
- When the Live – for Profit account makes a profit in the calendar month and the participant is a member of the live pool then a bounty reward will be paid in ETH into the participant’s Live Panxora trading account.
Requirements to become included in the Live Trading Pool
- When you email [email protected] to register for the competition, a separate Panxora ‘demonstration’ account will be established in your username. This account will be your “AICoin Competition Paper Trading Account”. This account does not trade actual funds, but mirrors live trading using a live price feed, generating a paper profit when you place trades. This paper trading account start with a zero balance. Each account will have position limits for each of the coins rather than a cash balance to trade. You can trade as many or as few of the available coins as you want.
- You will be provided with sample code and documents to allow the connection to the API. Support will also be provided to help you connect through correctly.
- Your regular Panxora Paper Trade Account can be used to test your API implementation and debug your code. Trading in your regular Panxora Paper Trade Account will not form part of your track record for competition purposes.
- When you believe your model is trading correctly and you want to start performance monitoring, then email [email protected]. You will be provided with a special API key for your AICoin Competition Paper Trade Account. NO TRADES WILL BE ACCEPTED BY THE SYSTEM UNTIL THE START OF THE NEXT RECORDING MONTH PERIOD. Recording Month periods begin at 12:00 UTC on the first Wednesday of the calendar month, they will continue until 12:00 on the first Wednesday of the following month.
- At the start of the month period your account can start trading (before this date you will receive an insufficient margin error if you try to place any trades).
- During the month you place trades into your AICoin Competition Paper Trade Account which will generate your Competition Paper Trade PnL for the month. Your position size will be limited to the stated position limits on each of the coins supported; you can go long or short up to the maximum limit specified e.g. if your account position limit is 3 BTC then you can hold any position between -3 and +3 BTC, fractional holdings are supported.
- If at the end of the reporting month your AICoin Competition Paper Trading Account is in profit then you will automatically become a member of the Live Pool for the next reporting month. You don’t need to make any changes for this to take place. If you have been moved into the Live Trading Pool, when you place orders into your AICoin Competition Paper Trading Account, the trades will be automatically be mirrored in the Central Live Account.
- You continue to trade your paper account through the API and the trades are automatically applied to the live account. Please note – the trade size in the Live account will be adjusted to match the capital assigned to you in the Live account, it will not usually mirror the trade size you place in your Competition Paper Trading Account. The ratio, however, will be consistent. As an example, if you sell 1BTC then buy 2 BTC in your paper trade account then the live account trades will also trade in the same ratio (Sell X, then buy 2 times X).
- At the end of the recording month, the new PnL is calculated. If the Overall Live account PnL is higher at the end of this month than it was at the end of the previous month then 5% of the gain in the month will be shared across the members of the Live Pool and paid into their personal live trading account. The share received is dependent upon where you rank in the live members for that month (see explanation of the Profit Share below)
- If you retain less than the required 10,000 XAI in either your registered offline or AICoin dashboard account you will be removed from all trading for the next recording month.
How do I stay in the Live Pool?
- Once you are a member of the AICoin Competition Live Pool then you will participate in any profits generated. Staying in the pool is dependent upon ongoing performance.
- You will be removed from membership of the Live Pool under the following circumstances:
- If your paper trade account ends the recording month overall negative (below the $0 level) you will lose your position in the Live Trading Pool.
- If your AICoin Competition Paper Trading Account has lost money in the last three reporting months (including the recording month just completed) then you will lose your membership.
- If you are removed from the Live Trading Pool the hedging software will automatically exclude your model positions from live trading.
- If you are removed from membership of the live trading pool then your account PnL balance is zeroed at the end of the reporting month. Any positions you still hold will be retained.
How do I get back into the Live Trading Pool?
- If you lose membership of the AICion Competition Live Pool then you can continue trading your model in the Paper Trading account (this switch back to only paper trading takes place automatically).
- Your account value is zeroed at the month end if you are removed from the Live Pool. The conditions for you to re-enter the pool are the same as the original requirement – you must end the month with your AICoin Competition Paper Trading Account in profit.
I want to change my trading model – how do I reset my account?
Resetting your AICoin Competition Paper Trading Account to change the model can only be done once every 3 months.
Email [email protected] and request an account reset.
How is the PnL Distributed – stakes?
After every recording month when a profit has been generated in the Live Pool, then 5% of this profit is distributed across the accounts of traders that are members of the Live Pool in that month.
When there is a profitable month, your paper trading account is used to determine if your trading has been a means for generating that profit. Therefore if you are a member of the Live Pool and your Paper Trading Account has made a profit in that given month you will receive 3 stakes.
Each member in the Live Trading Pool that has either executed trades and/or has an open position during the month in their AICoin Paper Trade Account but who has not made a profit in the reporting month will receive 1 stake.
Each member in the Live Trading Pool but has not executed any trades and has no open position in their AICoin Competition Paper Trade account will receive 0 stakes.
Each participant that is not a member of the Live Unleash Pool will receive 0 stakes.
The total stakes are added together then the profit to be distributed is divided by the total number of stakes to give the value of each stake.
Each person then receives their value per stake multiplied by the number of stakes they receive.
E.g. suppose the pool makes a profit of $60,000 in a month with 4 traders. Trader 1 makes $35,000 profit, Trader 2 Makes $30,000, Trader 3 looses $5,000 and trader 4 has no positions and makes no trades, so has added $0 profit to the Trading Pool.
Trader 1 and 2 receive 3 stakes each. Trader 3 receives an additional 1 stake. Trader 4 receives 0 stakes – A total of 7 stakes will be distributed.
The amount to be distributed = $60,000 * 5% = $3,000
The value per stake = $3000 / 7 = $428.57
Trader 1 receives 3 * $428.57 = $1,285.71
Trader 2 receives 3 * $428.57 = $1,285.71
Trader 3 receives 1 * $428.57 = $428.57
Trader 4 receives 0 * $428.57 = $0
Stake value is distributed into the player’s Live Panxora Trading Account in ether.
How Do I Play?
- If you don’t have a verified account with either AICoin or the Panxora exchange then register at Panxora and verify your account.
- Email [email protected] to get your account whitelisted for API access and to indicate that you are playing in the competition. This will give you access to API tokens on your paper trading account where you can try out the API and test out your model.
- If you don’t have any XAI, then purchase 10,000 XAI to authorise access to the competition. The XAI can be purchased directly on Panxora or on Forkdelta. These tokens can be held in your AICoin account or in an offline wallet.
- Register your XAI address by emailing [email protected] and receive your AICoin Competition Paper Trading Account.
- Participation is limited to a single account per verified individual. There is no requirement to deposit funds into this live account.
- Funds traded are funds held by the AICoin parent company Tessier Ashpool PTE Ltd – Singapore. Trade ideas presented to T-A are suggestions by the participant; Tessier Ashpool accepts that it has full responsibility for placing trades on the trading account and the participant has no liability for any suggestions presented or losses incurred.
- Any participants found to be colluding with other individuals in the paper trading environment will immediately be barred from participating in the competition and their trade suggestions will not be acted upon in any way. The AICoin Competition Trading Account will be immediately suspended.
- You understand that trades on the Live Trading Pool Account will frequently experience different execution levels to your AICoin Competition Paper Trading Account. Tessier Ashpool will endeavour to execute suggestions in a manner that matches the paper trading account but at times this may not be possible.
- PnL will be calculated based upon the prices available at Panxora.io. This may be different to other exchanges and trading sites.
- At the end of each month the PnL on the Live Trading Pool Account will be calculated; this PnL will include both realised and unrealised PnL on the account. This PnL will be compared to the month end PnL at the previous month end (or $0 for the first month end).
- If this amount is higher then there will be 5% paid out to participants who are active in the Live Pool of participants for that month. This will be paid out as detailed in the section above “How is the PnL Distributed?”. 5% will be paid to FGC Technical services Ltd for the provision and support of the technology and websites.
- Any distributions will be converted into ETH and will be credited to the Live Panxora trading account of the relevant participant. This distribution is a bounty payment for the provision of trading suggestions. You are not being paid as a fund manager or as a fund advisor. Tessier Ashpool PTE retains full responsibility for decisions on executing the trades in their trading account.
- All profit not distributed at the end of the month is retained in the Live Trading Pool Account and position sizes will be increased to reflect the higher account balance.
- If the amount is lower in the current month compared to the previous month, then the reduced amount will be the new capital available for trading and position sizes will be reduced accordingly.
- Tessier-Ashpool will use all reasonable care to place orders into the market as described in these rules. However, to participate the player acknowledges Tessier-Ashpool bears no responsibility to place trades as there are certain situations where trades may not be executed and these are beyond our control.
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