Recently, FMZ's official pricing policy was introduced.

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Strategy is risky, investment should be cautious, this strategy is only for small funds to try and does not guarantee profit.

1.币安永续套取资金费率策略

Permanent contracts and funding rates

The first coin-circle contracts were only exchange-rate contracts, but later BitMEX innovations introduced perpetual contracts, which are very popular and now mainstream exchanges mostly support perpetual contracts.

The longer the delivery date, the greater the price fluctuation, the greater the deviation between the contract price and the spot price, but on the day of delivery, the price is forced to settle at the spot price, so the price always returns. Unlike the delivery rate, the fixed-term contract can be held forever, and requires a mechanism to ensure that the contract price and the spot price are consistent, this is the capital rate mechanism. If the price is volatile for a period of time, many more people do a lot, it will lead to a permanent price higher than the spot price, at which time the capital rate is generally positive, the more you want to do, the higher the deviation is, so that the price of the compound tends to fall.

Interest rate and profit analysis

The capital rate is positive most of the time, and if you do a blank permanent contract, do a lot of cash, hold for a long time, you can theoretically get a positive capital rate gain in the long run without the fall in the price of the currency.

Binance provides a history of the capital rate:https://www.binance.com/cn/futures/funding-history/1The average exchange rate for the currency in March 2021 was:You can see that the average rate of interest in many currencies is above 0.15% (due to the recent bull market, the rate is too high, but difficult to sustain). According to the recent earnings calculation, the daily rate of return will be 0.15% * 3 = 0.45%, not including the return on annuity at 164%; considering the spot hedge, double the leverage of the futures, plus the disadvantages of losses, premiums, and flat positions, the annualisation should be at 100%. The withdrawal is almost negligible.

Risk analysis and avoidance

Negative rate

The minimum rate can be up to -0.75%, if it occurs once, the loss is equivalent to the gain of 75 times the rate of 1 million, although the currency of the average rate has been filtered, but there are inevitable unexpected events. The solution in addition to avoiding new coins and demon coins, the most important is to diversify the hedge, if the hedge is more than 30, the loss of one coin will only account for a small part.

Changes in premiums

Generally, positive rates represent a permanent premium on the spot commodity, and if the premium is high, it is possible to earn a certain premium return, of course the strategy has been held for a long time, so it will not eat this part of the profit.

The risk of a contract bust

Due to the diversified hedging, this part of the risk is much smaller, for example, with a permanent double leverage, the possibility of a bull market will only occur unless the price increases by 50% overall, and due to the cash hedge, there is no loss at this time.

Long term bear market

The bull market rates are mostly positive, and many coin averages can exceed $2,000, with occasional high rates. If the market turns into a long-term bear market, the average rate will decrease, and the probability of a large negative rate will also increase, which will reduce earnings.

Strategic thoughts

1. Automatically filter the currency or manually specify the currency, refer to the historical capital rate, and trade above the threshold. 2. Obtaining the current rate, exceeding the set threshold, starting to hedge futures spot at the same time, fixing a certain value. 3. If the price of a single currency rises too much, the strategy can be automatically leveled to avoid the perpetual risk of too high a price. 4. If the rate of a currency is too low, a flat rate is required to avoid being charged. 5. Since there is no requirement for the speed of the opening position, the opening position and the clearing position are all using iceberg assignment, reducing the shock.

Summary

Use a rate strategy with low overall risk, large capital capacity, relatively stable and low profitability. It is suitable for those who pursue low-risk arbitrage. If all funds are sitting, you can consider using this strategy.

2.现货网格策略（支持所有现货交易所）

The Principles of Strategy

See also:https://www.fmz.com/digest-topic/5930

If the price of Bitcoin in the future is the same as it is now, what strategy would you take to get a return? The easy way to think about it is to sell early, buy when it falls, and then wait for the price to rise again, to take the middle difference.

The grid strategy is a fixed price buy and sell strategy, which can set up multiple sets of buy and sell ranges, such as 8000-8500, 8500-9000. The strategy will buy 0.1 coin at 8000 yuan, sell 0.1 coin at 8500, continue to rise to 9000 sell 0.1 coin, fall to 8500 and buy 0.1 coin. Note that the net only deals at one end of the range, the price of the other end will hang.

This strategy grid is divided into equal-difference grids and equal-parity grids. The net difference of such grids is fixed, such that the lower upper limit of the price range is set to 10000-20000, and the number of grids is set to 5, respectively. The difference is ((20000-10000) / ((5-1) = 2500). The grid is 10000-12500, 12500-15000, 15000-17500, 17500-20000, respectively.

The net is similar to the principle of the net with equal difference, but the profit rate of each set of grids is the same, the price difference is different, the lower upper limit of the same price range is set to 10000-20000, the number of grids is set to 5, and the grids are 10000-11892.07, 11892.07-14142.13, 14142.13-16817.92, 16817.92-20000 respectively. Thus, the profit rate of each set of grids is 18.9%.

The calculation of the differential grid is simple and clear, the ratio of profit margins is consistent, the effect of the actual operation is approximate, and it is interesting to look back at the difference.

Strategies for the market and risks

A grid strategy is not a risk-free strategy. The choice of a grid represents a market in which you believe the market will remain volatile, and the price will definitely return regardless of the price drop. If you abandon the operation of the grid strategy because the price is too high or too low, you will incur a real loss.

The grid strategy can be used to stop or increase the leverage, in addition to being used to boost the profitability of the market. For example, if you want to clear more than 40000 positions of Bitcoin, you can set the grid upper limit to 40000, calculate the investment amount, if you earn more than 40000 yuan, the grid stops running, completes the clearing operation, and also earns the money that fluctuates during the period, the same can also be used to gradually increase the leverage.

Explained

1. The strategy can be directly retested and recommended based on the transaction fees and the parameters that the transaction decides for itself. 2. Total capital = the amount of money needed for the invoice + the total value of the coins needed for the invoice 3. The strategy needs to be booked in advance, and if the funds or coins are not enough, the strategy will suggest buying or selling. 4. A grid strategy requires long-term operation and long-term floating losses, and is not stable in making money. 5. The grid cannot be set up too densely and needs to be able to cover the costs. 6. The upper limit of the lower price range needs to be increased appropriately, otherwise it can be easily exceeded.

3.币安永续合约网格策略

Principles of sustainable grid strategy

In Bitcoin futures USDT trading on a perpetual contract, compared to the spot grid can be done without holding currency, trading and settlement earnings are all in USDT, can be leveraged. Therefore, compared to the spot grid strategy, the perpetual grid is more convenient and simple, of course, also increases the risk of booming. The grid strategy does not guarantee earnings, only suitable for the volatile market.

The specific grid strategy is the same as the real-time grid, see this encyclopedia article:https://www.fmz.com/digest-topic/5930 。

The strategy needs to set two main parameters: the net trade value, the net gap ratio. If the gap ratio is set to 0.01 and the trade value is set to 500, then the price of the traded currency will fall by 500 USDT per tonne by 1%, doing the same. The net strategy needs to rely on volatile profits, if the price returns to the initial price in the future, it will make all net profits.

Strategic risks

1. the risk of a breakout position, the futures are leveraged, and the grid strategy is a reverse trend leverage, if the position is too large, it is likely to break out 2. API error, which causes policy anomalies if returned position delays or data errors 3. rate loss, the risk is small, the general increase is positive rate, the vacancy will get rate gain

4.币安永续高频策略

The Principles of Strategy

This article is specifically for you:https://www.fmz.com/digest-topic/6228

Get the most recent trades, depth and current positions, according to trades to judge the trend, according to the volume of trades to decide the size of the opening position, to judge the trend for the upward hanging more open, while flat, if at this time holding a blank position will be all flat. Judging the downward trend operation is the same.

The idea of the high-frequency strategy is very consistent, and my strategy draws on the ideas of the high-frequency strategy I previously published in 2014 and the OKCoin Spinach Reaper strategy. Both strategies can be found on FMZ.

• Bitcoin high-frequency strategy robot from 2014
• Transplanting OKCoin to the cabbage harvester

Strategic risks

There are risks with open positions, but the advantage of high frequency is that the number of trades is very high, one loss can also be quickly re-traded 10 times to make up for the loss, the longer the cycle is small. The greater the risk of holding, the greater the risk, so there can be no unlimited increase in holding, if there is a certain negative feedback mechanism, more positions will increase the flat position to reduce the opening position, guaranteeing a short holding time.

The strategy has a large turnover, is sensitive to fees, and preferably has a negative commission account, otherwise it is difficult to make money, of course you can test the strategy with small funds.

The strategy is to compare the trades, which require active trading, exchange rates, and most pairs are not suitable. It can be arranged according to inflation, if the trading pair is large and trading is frequent, you can consider real-time testing, if there is no profit, you need to close the robot in time to avoid losses.