Discover How Yieldfund's Trading Strategy Actually Works

Strategy

Fast, smart & always in motion.
Yieldfund seizes every second in the crypto market to turn opportunities into trading profits.

STRATEGY

We Take a Different Approach to Traditional Trading

Yieldfund is a regulated quantitative trading company that operates within the cryptocurrency market. Unlike traditional investment funds, our technology allows us to trade in highly volatile environments (rapid price movements), where short-term inefficiencies (temporary mispricings between buyers and sellers) create opportunities.

Our advanced trading algorithm is built for precision and control, allowing a maximum of eight open positions at any given time to keep risk tightly managed. On average, between 5 and 20 trades are closed per day, each automatically executed based on live market data. This measured approach minimizes exposure while maintaining consistent trading performance in both rising and falling markets.

Advantages of Trading in the Cryptocurrency Market

24/7 market: always opportunities, no restricted trading hours
High volatility: more price fluctuations, and therefore more opportunities for trading profits
High liquidity: leading cryptocurrencies offer high volumes and deep order books (meaning trades can be executed quickly and efficiently with minimal price impact)

Our Model Is Based on Three Core Principles:

Data-driven Trading

Within our standard trading process, all decisions are fully automated. The algorithm continuously processes live market data and translates it into pre-defined trading actions. This creates a scalable and consistent model that can generate effective returns in both rising and falling markets.

First Time Right

The goal for each trade is to close within a maximum timeframe of four hours and achieve a pre-set profit target of 0.5%, which, with 10x leverage, corresponds to a 5% trading profit. Only trades that meet both conditions are counted as successful.

Currently, our algorithm achieves this “First Time Right” outcome in approximately 90% of all trades, and we are continuously refining and optimizing our systems to further increase this success rate over time.

Read Step 3 to learn how we manage trades that don’t initially meet these targets, as well as the structured process we apply to guide them back toward profitability.

Trade Recovery

When a trade cannot be closed at a profit within the set timeframe, we consider it an “invalid” trade. These positions are actively managed with the aim of closing them as soon as possible, in a controlled manner and without loss.

Main recovery measures:

Dollar-cost averaging

Reducing leverage

Note: We aim to avoid liquidating positions whenever possible; however, it may be necessary under certain circumstances.

How Yieldfund Generates Trading Profits

How Our Trading Process Works

We actively trade the top ten cryptocurrencies with sufficient liquidity and volatility. By capitalizing on micro-movements and market inefficiencies, trading profits from individual trades accumulate to deliver consistent, long-term returns.

Note: Investing involves risk. Past performance does not guarantee future results.

Market Analysis (24/7)

Our algorithm continuously monitors the market based on four coded indicators, as well as price action, volume, and timing.

Signal Detection

When all four indicators, together with price action, volume, and timing, are aligned, TradingView automatically generates a signal.

Trade Execution

This signal is instantly sent to the exchange, where a buy or sell order is automatically executed.

Risk Management

We use tight stop-losses and dynamically adjust position sizes.

Profit Realization

The take-profit (TP) level is set at a default of 0.5%. Once this target is reached, the position automatically closes.

How Yieldfund Ensures Stability During Unexpected Extreme Market Developments

Selective Approach to Cryptocurrencies

At Yieldfund, we employ a strict and targeted strategy. We trade exclusively with a fixed selection of approximately ten proven, profitable cryptocurrencies with high market capitalization and sufficient liquidity. This selection allows us to deploy additional capital in a controlled manner during trade recovery situations, ensuring that positions can be closed smoothly and without loss.

Trading Safety Fund
To reinforce this process, Yieldfund maintains a Trading Reserve Fund of of the invested capital. This fund is held entirely in readily deployable USDC and is intended solely to support trade recovery situations.

The Trading Safety Fund serves as an additional safety net in the event of unexpected or extreme price fluctuations. This allows us to deliver stable trading profits and continuity for our investors, even under exceptional market conditions.

Structurally Low Trading Profits

Main causes that can lead to insufficient trading profits are:

Market stagnation — our algorithm is designed to profit from volatility (long and short). With minimal price movements, fewer trades are executed, resulting in lower trading profits.
Technical failures — outages of software, APIs, or exchanges may disrupt trades or lead to missed opportunities.
Sudden extreme events (“black swans”) — rare but real, these can put trading profits under pressure due to liquidations in both long and short positions.

Capital Loss

There is a risk of (partial) capital loss, although this is unlikely, and may be caused by external factors outside our trading process:

Exchange bankruptcy — funds may become inaccessible.
Exchange hack — large-scale hacks may freeze or erase balances.
Geopolitical issues — political tensions, sanctions, or regulatory actions may block access to markets.

Key Countermeasures — Structurally Low Trading Profits

The risk of insufficient returns can never be ruled out entirely, but it can be significantly mitigated. The key lies in the continuous refinement of our algorithm, combined with strict outage management and balanced market exposure. However, we do remain dependent on market volatility, as our algorithm is designed to benefit from it. This approach helps ensure that our trading model continues to perform under diverse market conditions.

Key Countermeasures — Capital Loss

Diversify activities and assets across three continents and among three leading exchanges. Target: full implementation by the end of 2026.

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Strategy

STRATEGY

We Take a Different Approach to Traditional Trading

Advantages of Trading in the Cryptocurrency Market

Our Model Is Based on Three Core Principles: