Lately exchanges has been trying to integrate everyone within the crypto space with an opportunity to make profit. There are introduction of different features that can enhance user’s profitability such as copy trading, flexible savings, staking, Launchpad and the likes. Now AI bot has been introduced into some CEX where users have opportunity to trade with bot. In some cases bot are very smart regardless of the volatility of the market. Trading with both is just like trading smarter because you’ve got no reason to stress yourself.
Also there are exchanges that offers loss protection on their bot, users get loss protection fund in any situation of loss. This might be an opportunity to explore.
Let me know your view regarding the trading bot and if you know any exchange with such feature yet also with loss protection fund on users loss.
All these new things are a bit of a risk and you should be careful about it. I know one that uses "AI" in the name and it does a bit of machine learning but in the end it's not really that much improved. It checks the winning ones, and why it won based on many indicators, and when it's spread to that many people who use the bot, it becomes like there are tens of thousands of profitable trades and tens of thousands of losses as well so it analyzes what happened and what was the situation like when people earned, and what was the situation when they lost.
This results with the bot learning what they should do and the result would be good, and it trades for itself. This all sounds great right? Well it fails, it fails to analyze and it fails to trade properly, so it keeps losing money, doesn't work as intended.