How to with Arthur: Base Assets explained
Let’s take a look at base assets. One of the first things you have to do when creating an API key for the BOTS platform is selecting a base asset. But how do you pick the right base asset for your strategy, and why is this so important? Let’s dive in.
What base assets are there?
As you most likely already know, your base asset is the asset you return to when you’re not in a trade. So when you’re not exposed to the market — this is where you go back to. At the moment, we have three base assets to choose from at the BOTS platform: Ethereum, Bitcoin and USDT. Which one you pick can make quite the difference in the overall ROI of your bot.
Happily ever after?
Let’s say you choose BTC as your base asset. When the price of BTC goes up, in theory, your base will have increased in value. But obviously, you don’t just sit around and look at the drops and increases of the market: you trade. So say your bot made a beautiful trade amid a BTC price increase and exited right after. Excellent: you just made a nice ROI for the users of your bot. Happy out, right?
Now imagine this scenario: you’re trading a particular coin, and the market drops. No problem: you go back to your base asset — good ol’ friend Bitcoin. But what if the BTC dropped as well and continues to drop? In this situation, you’d be stuck between two dropping coins, without a haven to return to. The result? Lots of sleepless nights amid a very risky situation.
Why choosing the right base asset is so important.
This is precisely why choosing the right base asset for your algorithm is so incredibly important. When shit hits the fan, you’ll want a safe haven to return to without too many losses or, if you’re willing to take some risks, you might feel pretty confident when your bot has more exposure to the market. Do you want your customers always to experience the risk and fluctuations of the crypto market, or do you want them only to experience those fluctuations when they’re going your way?
The choice is yours!
Join the BOTS community
Now, do you have any questions about the bots in the BOTS app? Please reach out to our support team. You can contact them right here. Or, if you’d like a quick fix, you can check the FAQ on our website, our YouTube channel or join other BOTS users at the BOTS Discord channel!
Are you an ambitious bot creator, and would you like to know how to get things started? Check our bot creator page!
BOTS is a tech company that has developed an app that makes it possible for anyone to start investing. You only need €50 to get started. BOTS uses automated trading strategies based on algorithms. We call these algorithms bots. These bots are tiny superheroes: they make automated investing accessible to everyone. With their help, you can invest in cryptocurrency within minutes — without any knowledge! And we’ll do you one better… In 2021, you’ll also be able to invest in stocks and other currencies through the BOTS app.
The app is free to download and quick and easy to install. BOTS currently operates in more than 15 countries, and by the end of the year, BOTS wants to be active in at least 60 countries and four continents.
Need any help with anything?
Even though automated investing is incredibly easy, you might need some time to find your way around the app and discover all the options. So if you still have questions wandering around your mind, or you just can’t seem to figure it out, please do not hesitate to contact the BOTS support department.
Don’t feel like calling our support team? Just head to the BOTS YouTube channel and browse through the dozens of instructional videos that may help you further. You are also royally invited to the BOTS Discord channel.
Ready to get started?
There is no such thing as risk-free trading. It is possible to lose (part of) your stake.