Various risks are referenced in our client agreement. Here is a list of risks that have been identified from using our service and in some cases in trading in crypto currencies in general.

Price Fluctuations

To do arbitrage, some of your (fiat) capital will be used to buy working capital in the form of crypto. At the end of the arb cycle, your crypto will be sold off. Between these points you are exposed to the price fluctuations of that crypto.

To mitigate this, we limit your exposure to crypto by only purchasing a limited percentage from your fiat working capital, so that even if your crypto working capital value halves, it will only make a small percentage difference to your overall profit.

Trading Algorithm Malfunctions

We have programmed in extremely robust checks and balances, and the algorithm has been working since 2016. Any losses due to malfunction of the trading algorithm, can be compensated at our discretion.

Hacking and Theft from Crypto Trading Exchanges (CTEs)

Hackers have been able to steal funds from some CTEs in the past. We only support CTEs that we believe have a long track record of good security measures. Be very careful of phishing emails and do not assume any emails you get from the CTE are legitimate. Only login to your CTEs when you have selected (or typed in) the URL/website address yourself. Avoid clicking on links in emails.

Theft Using Your API Keys

If you prefer using your own crypto exchange accounts, then in order to allow your bot to execute your trades, you need to provide it with API keys. If anyone gets hold of these keys, they could potentially steal your cryptocurrency. We store your keys with encryption to protect them but if they are leaked through your emails or computer this is out of our hands.

Limiting the API keys to your bot IP address will limit access to them and no-one else will be able to use them. In addition, limiting withdrawal addresses to your own wallets will prevent any unauthorised outflow of funds in the unlikely event that your API keys are compromised.

Tax and Exchange Control

You need to make sure your tax affairs are up to date, and that any money you send out of South Africa (i.e. forex payment) is within the rules, limits and regulations. Tax and exchange control are out of the scope of our service.