Crypto trading services (hedge funds) usually require you to send your funds to them. We don't do that. We ask you to retain custody of your funds on your own dedicated trading account on Kraken. You then activate an API key for Unlisted to 1) trade on your behalf 2) Withdraw the Unlisted share of trade profits.
Regardless of the comparison to crypto hedge funds that take full custody of your funds, and regardless of the strong security measures Unlisted uses, we are sensitive to the fact that some customers will not be comfortable activating an API key that gives withdrawal access to their Kraken trading account.
We are working towards a two exchange account solution for this situation where Unlisted can withdraw funds at time of trade from your second account which has a much smaller balance, keeping the highest security possible on the lions share of your funds.
We will not offer manual payments as an option. If we were to offer customers the option to make payments manually, these are the problems that are created for Unlisted:
Added Cost To Unlisted: This creates no small amount of work for Unlisted to collect and reconcile thousands of payments from obscure addresses. It requires significant programing and ongoing maintenance of accounting reconciliation and reporting systems, a built-in CRM system for collections, hiring experienced senior staff for collection, reconciliation, and for financial control oversight. This would cost Unlisted several hundreds of thousands of dollars per year to offer this option. It also makes our business larger which requires more management time, which goes against the life goals of our owners. This means ownership would need to hire an additional experienced executive to oversee this function of the operation and oversee those executive staff. Additionally exposure to fluctuations in BTC or ETH value between time of payment from customer to time that Unlisted actions the receipt of the payment and trades it to USD creates significant exposure to erosion of profits since the payments will be due at time of achieving targets which are almost always times of high volatility, and considering delays overnight and weekends this exposes Unlisted to erosions of profits that we are not exposing you to with your profits. Keep in mind that Unlisted must also then be continually monitoring 24-7 for incoming payments so we can expedite the exit into USD. That is not conducive to the healthy lifestyle we promote and are providing to you. We do not want to be managing a large company with many staff and lots of manual processes. In a world of crypto trading, this makes no sense to us.
Added Exposure To Unlisted Means Added Obligation To You: Volatility is typically at its greatest when we reach targets and close a winning trade, swings of 10-20% in the same day are common. Automated trading allows you to take profits right at target but by not allowing Unlisted to immediately take profits at target, this exposes Unlisted to rapid shifts in the value of Bitcoin or Ethereum between trade exit and when you send the funds to us. This means that you would be responsible to make up the difference between value of the crypto asset at time of trade exit vs time of sending to us. You maybe exposed to as high as 20% swings in the value of the payment to Unlisted.
Unlisted App Access: In order to assist in timely collections of funds and to minimize exposure to swings in how much you need to pay to Unlisted due to delays in payment, your access to the app would be limited to the information needed in order for you to pay Unlisted. Once you had made the payment and provided your transaction ID and sender address your access would be opened again. If there would be a repeat history of delayed payments of more than 24 hours your membership maybe cancelled.
In Summary: In our assessment manual trading is a poor, labour-intensive, exposed way to conduct business, it takes time out of your day, and makes our business much more complicated and archaic. We welcome any thoughts please contact us