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Profiting from the Irrationality of Crypto Markets
Highlights
- The Skye Crypto Arbitrage Fund uses algorithmically driven arbitrage trading methods to capture stable and substantial profits for investors with minimised crypto price risk.
- Over 6 months of private trading, returns have averaged 32% per month.
- Fund target is 5-10% per month, with zero net exposure to cryptocurrency prices.
- Excellent for portfolio diversification or to hedge market volatility, since the fund outperforms during periods of market turbulence.
- Suitable alternative to USD bonds or savings accounts, since arbitrage returns are stable and consistent, all crypto exposure is hedged back into USD, and token value is 100% backed by USD denominated holdings.
- 100% of tokens are distributed to investors. No tokens are set aside for Skye Crypto Team.
- Pre-ICO investors will gain early access to invest in the ICO at a 10% discount one week before its public launch.
Abstract
Unlike traditional equity markets and exchanges, cryptocurrency exchanges currently lack strong collective price discovery, due to their irregular trade volumes, widely differing client base, low liquidity, regulatory segregation, and dominance of momentum-related algorithmic trading strategies. The Skye Crypto Arbitrage Fund (the Fund) seeks to exploit these market inefficiencies to capture stable and substantial profits for investors with minimised directional risk. The strategy employs an algorithm which actively searches for the most profitable price divergences across the most commonly traded cryptocurrencies, futures, options, and swaps. By simultaneously buying and selling the same asset at these divergent prices across different exchanges, the fund can realise nearly riskless arbitrage profits.
In essence, we aim to offer the most boring ICO in the world a crypto fund whose positions bear no price risk, and which gradually accretes value from algorithmically capitalising on the irrational trading behaviour of other market participants. Further, as we launch in a two-stage process, Pre-ICO investors will be eligible for a 10% discount when purchasing tokens for the ICO.
Our private trading has exhibited outperformance during periods of high volatility or chaotic market conditions, negligible correlation to other fiat assets, such as company shares or commodities, and average returns in excess of 30% per month. This highly favourable return profile of stable profitability with outperformance when other assets struggle makes the Fund an excellent allocation candidate to diversify a total investment portfolio or to hedge market volatility.
Token Description
Token Name: Skye Crypto Token Series A (SCA) USD Denominated
Representation: Each SCA token represents a share of the Fund's assets under management and profits after fees equal to the total divided by the total number of SCA tokens in circulation.
Token Sale Price: 1 SCA = 1 USD cryptocurrency equivalent
Bonus: Pre-ICO investors will gain early access to invest in the ICO at a 10% discount one week before its public launch.
Currencies Accepted: Bitcoin, Ethereum, Litecoin, Bitcoin Cash, and Stellar Lumens
Minimum Investment: 100 SCA
Number of Tokens: 10 Million Secondary coin offerings may be considered at a later date if they would add additional value to the holders of existing SCA tokens.
Distribution: 100% to investors in the Pre-ICO. No tokens are set aside for the Skye Crypto Team. Pre-ICO tokens can only be acquired through the Pre-ICO.
Duration: The Pre-ICO will run from 12:00 UTC May 14th until 12:00 UTC June 14th, or until all tokens are sold.
Token Availability: SCA tokens will be distributed to investors within 24 hours of receipt of funds. Full instructions can be found on the How to Invest page. Following the Pre-ICO, tokens will be available on the Stellar DEX
Buyback: 100% of Fund profits will be used to buy back tokens anytime after the Pre-ICO if the price of SCA trades at a discount of 3% or greater to its Intrinsic Value (determined as Fund Net Asset Value / Number of Tokens in Circulation).
Performance Fee: 20% of realised profits in excess of 2% per month (in USD terms)
Management Fee: 0.4% per month (in USD terms)
Platform: Stellar
Full Details on our Website and White Paper
Website: skyecrypto.com
White Paper: skyecrypto.com/s/Skye-Crypto-Whitepaper.pdf
For more information on how to invest, please contact us directly:
Email: info@skyecrypto.com
Social Media Links
Twitter: @SkyeCrypto
Reddit: u/SkyeCrypto
Medium: @skyecrypto
