What is ArithFi (ATF)? A derivative trading platform with an innovative SCP model.
ArithFi is a derivative trading platform that utilizes the SCP (Smart Contract as Counterparty) model to act as a partner in futures and options trading for all users. ArithFi eliminates entities like MM (Market Makers) and LP (Liquidity Providers) to provide a unique derivative trading experience for users. Let's explore ArithFi further through this article.
What is ArithFi?
ArithFi is a derivative trading platform that employs the SCP (Smart Contract as Counterparty) model, with smart contra
871 times in one night: The legend I created on ArithFi
Here is the story of a trader who made 871 times profit in just one night:
“It all started when I followed a KOL who introduced an exchange with no trading fees and no slippage - ArithFi. After doing some research, my intuition told me that there was an opportunity at this exchange. Previously when trading on Binance, every time I opened and closed a position with 50x leverage, I had to pay a 5% transaction fee. If these fees were refunded for each of my trades, I believe I could make a steady profit. I immediately downloaded ArithFi and started trading with $200.
Funding Rate Arbitrage in 0 Trading Fees Environment
In the cryptocurrency market, funding rate arbitrage is a popular strategy, especially for those traders seeking stable returns amidst market volatility. This article will explore how to apply the funding rate arbitrage strategy in an ideal trading environment—namely, with zero slippage and zero fees. Basics of Funding Rate Arbitrage The funding rate is a fee paid between long and short positions in the perpetual contract market, aimed at anchoring the futures price to the spot price. When the f
Why new users should experience 0 transaction fees and 0 slippage on ArithFi
Enter the world of Crypto full of potential Like many others, I have always been attracted to the vibrant and volatile Crypto market. Grasping the great potential of this market, I aspired to participate to try and earn more income. However, in the past, I was quite hesitant to join because of the barriers of high transaction fees, the complexity of the trading floors, and the not-so-smooth trading experience. Worries about losing money unfairly due to transaction fees or having problems executing orders made me hesitant to commit.
Only the New Trading Model can Bring New Market Trends
Since Satoshi Nakamoto invented Bitcoin in 2008, the cryptocurrency and blockchain industry has experienced several bull markets, each accompanied by the birth of new technological models. Each breakthrough in technology has led the market, attracting the attention of investors and forming new hotspots. During this process, countless innovative projects have emerged. Although the hotspots are complex, on the whole, it is technological innovation that has driven the industry’s development. It has
What constitutes the asset attributes of cryptocurrencies? BTC, ETH, ATF
In the current tech craze and wave of decentralization, we often find ourselves bound by existing viewpoints, overlooking the importance of examining cryptocurrencies and the asset lineage from a fresh and counterintuitive perspective. Today, I invite you to step out of the conventional thinking framework, revisit the asset lineage of cryptocurrencies, and challenge our inherent understanding of the relationship between decentralization and centralization.
ArithFi: The Challenger to CEXs— Achieving the Impossible with 0 Fees and 0 Slippage
Imagine you’re a crypto futures trader at a centralized exchange (CEX). You decide to leverage $1000 at 50x to open a position. The moment you click “open,” you’re already down approximately $45 (4.5%). Of this, $25 is lost to futures trading fees, padding the exchange’s profits, while $20 vanishes due to price slippage, pocketed by market makers. It’s the harsh reality of trading costs at a CEX, a legacy model borrowed from traditional finance, neglecting blockchain’s potential to reduce costs.
Many users are asking how ArithFi, with its offering of zero fees and zero slippage in futures trading, manages to make money. The answer is that ArithFi does not need to make profits.
ArithFi operates on a currency model, not a corporate model. Unlike traditional companies, it does not seek to maximize shareholder benefits. Instead, it generates value by providing trading services and leveraging its unique token economy model.
ArithFi aims to develop its ATF token into the third class of asse
ArithFi's SCP model has been designed to avoid a death spiral in the financial system. In many models, user profits are directly dependent on the price of native tokens, which can lead to aggressive selling and sudden price drops.
However, ArithFi's SCP reduces this risk by:
1.Do not link user profits to ATF/USDT price, preventing payout increases when a user withdraws profits. 2. The decision to sell or hold ATF is up to each user, just like the decision with other cryptocurrencies like ETH. 3. Isolate the impact of users' trading decisions to avoid large sales causing systemic impact.
In short, ArithFi's SCP is structured to prevent a downward spiral by decoupling individual user profits and sales from the overall price of the token, creating a robust and resilient ecosystem. school.
The spot ETF of ETH is facing an important approval decision in May, with one of the key arguments being whether ETH is a security. The Howey Test is an important standard to verify whether an ETF is a security. So, can ETH pass the Howey Test? Howey Test To determine whether a unit of value, contract, or transaction is a security, the U.S. Securities and Exchange Commission (SEC) uses the so-called Howey Test, which is based on a 1946 Supreme Court ruling that defined what constitutes a securit
ArithFi, an innovative decentralized financial platform, is redefining the value and profit model of trading services. (ATF)
ArithFi's approach to generating profit is indeed unique, leveraging utility from trading services, transforming losses into token burns, and emphasizing cost-efficiency through decentralization. This innovative combination not only benefits the platform but also aligns with the evolving landscape of decentralized finance. It will be interesting to observe how ArithFi's model shapes the future of the Defi industry and influences similar developments in decentralized finance.
ArithFi's approach to profit generation reflects a unique blend of decentralized finance and innovative economic models. By focusing on utility, token burns, and cost-efficiency through decentralization, it positions itself as a sustainable player in the competitive Defi landscape. This model not only caters to user needs but also introduces a novel perspective on reshaping the traditional profit-driven paradigm in the financial sector.
By prioritizing utility in trading services and incorporating a smart contract token burn mechanism, it not only creates value for users but also transforms traders' losses into potential gains for the platform and token holders. Additionally, the focus on cost-efficiency and decentralization positions ArithFi to maintain sustainable profitability while contributing to the evolution of the decentralized finance landscape. This model reflects a noteworthy departure from traditional profit-driven paradigms in the DeFi industry.
#ArithFi The Challenger to CEXs— Achieving the Impossible with 0 Fees and 0 Slippage
ArithFi's vision is to eradicate both market makers and LPs from derivative trading. By utilizing oracles for pricing and conducting transactions and settlements in token standards instead of fiat, the user and the entire system (smart contracts) act as counterparts.