Ever wanted to invest in cryptocurrencies but don’t want to face the hassles and complications attached to an industry still in its infancy?
Now you can with NapoleonX.
NapoleonX (also called NPX) is a project designed to make cryptocurrency trading profitable and monitoring the market easier than it ever was.
The project is not led by an unknown team either; Stephane Ifrah, Jean-Charles Dudek, and Arnaud Dartois, all of whom are extremely experienced and well-known in the quantitative trading/assets management industry, lead the ambitious project to achieve their goals.
In the crypto-assets management industry, there have already been a number of startups doing the same thing such as Enigma, ICONOMI, and Melonport.
What sets NapoleonX apart from their competitors, however, is how they run their assets management in a safe, effective, and automated way.
Before we dive into what the project actually does, it is important to understand what NapoleonX is trying to solve.
Cryptocurrencies have exploded in popularity within the investing industry achieving nearly US$150 billion in market capitalization in less than 2 years.
While it started off as a fad, cryptos have started being interesting to traditional investors and regulators from around the world. What was thought to be a bubble before is now a legit investment opportunity for investors looking to diversify their portfolio.
The #1 obstacle in this industry though, is the lack of investment vehicles for investors to reliably put their money in. As of right now, investors only have the option of holding a basket of cryptocurrencies or investing in ICOs.
Holding a basket of cryptocurrencies can be profitable but it would take time as the market is still young and not stable. The influx of new cryptos every day also takes a hit on how the market works.
With ICOs, it’s a hit and miss. Just as how easy it is to reap profits, investing in risky ICOs will also deplete your funds quickly as the market tends to change rapidly in cryptocurrencies.
NapoleonX is trying to solve this; the project aims to become the 1st algorithmic asset management business for investors in the cryptocurrency industry.
What ties the project and its goal together are Decentralised Autonomous Funds, also known as DAFs. DAFs are smart contracts that are able to invest in the crypto market through trading bots.
A trading is an algorithm that buys or sells an asset (e.g Bitcoin, Ethereum, other assets) to maximise performance while minimising the risks of an investor.
While the DAFs work on an algorithm, investors also play part in determining how it works.
NapoleonX investors get to:
- Choose the trading bots to utilize among a basket of assets
- Choose the level of leverage in their investments.
These trading bots are not static; owners get to regularly change them over a period of time through a voting process.
So, why do we expect trading bots to make a massive difference in cryptocurrency investing?
If you’re familiar with stock market trading, you will know the advantages of trading bots over regular traders. Trading bots place sell and buy orders automatically, monitor market movement, and make profitable decisions even when you’re asleep!
Trading bots are not yet widely implemented in cryptocurrency trading because it is difficult to record the transactions on the blockchain.
This is the main problem NapoleonX is trying to solve, it wants to connect the gap between the beneficial properties of a blockchain and the advantages of a trading bot.
For starters, DAFs will make investing extremely easy even for beginners.
Trading bots are common in traditional stock trading because it does all the heavy work for investors, especially for tough decisions like buying or sell orders.
Trading bots also monitor market movement and make necessary actions even when traders are not around to monitor their portfolio.
This project will become a smarter way to make investments in the cryptocurrency market since it allows trading bots to operate without compromising the safety of the transaction.
Algorithms also become smarter and more efficient over time which means investors get to bypass expensive management fees attached to traditional investment firms while at the same time increasing profits.
Since everything is stored on the blockchain (e.g transactions, financial records), records and proof of performance are easy to show. Investors do not have to worry about scams as everything will be recorded and data on the blockchain CANNOT be modified or deleted.
Investors will also gain value from holding NPX tokens as the tokens rise in value due to:
- Value generated from assets invested by the DAFs
- Performance fees collected from said DAFs
NaPoleonX will launch its ICO with the sale of NPX tokens on the 4th of December for one month or until the hard cap is reached. You can currently register for the pre-sale with a 30% bonus.
The goal of the ICO is to raise 40,000 Ethereum (ETH) that will be used to run the business and achieve its targets.
The conversion rate is at 1 ETH = 100 NPX for the ICO.
Should the minimum amount of 25,000 ETH to be raised not be achieved when the ICO ends, investors will get reimbursed their investments excluding the gas costs used to confirm the transactions.
To learn more about the ICO, click here to head over to NapoleonX’s homepage.
We’ve also scheduled an interview with the CEO of NaPoleonX to delve into the mind of what makes a blockchain startup tick as well asking the questions that you, our Chipin readers, want to know the most.