With all the investment scams plaguing the internet, it’s hard to think whether social investment projects will ever receive true recognition. Traderly is transforming the social investment landscape and is seeking to be the top trusted social investment platform. Traderly will host fully vetted professional institutional traders complete with statistical analysis and past performance data. This will make it extremely hard for investment scams to surface and gain traction as Traderly will serve as the benchmark of transparency and performance analytics. Let’s break down the general trading environment, the scams that have recently taken place and why Traderly is desperately needed.
The emergence of online trading
has sparked wide interest because of the potential large gains that can be made. Even more now with the introduction of crypto currencies and the volatile returns people are making. The ease with which payments can be made and the transfer of money from one account to another with little or no verification has fuelled the online trading landscape. Anybody can open and fund a trading account and push the buy or sell button, you don’t need to be a professional trader to do it. The internet is littered with advertising from brokerages, investment schemes, to automated robots that promise amazing returns.
Desperation has put blinders on susceptible people as they are being fooled into parting with their hard-earned cash. Putting their hopes of fortune into false claims. People overlook the need for astute investigation or due diligence. Is it greed? What is greed but another form of fear of missing out. The need for instant gratification, although not logical, to satisfy the ego. The markets will always be here. There will always be opportunities to make money. So why then are advertisements screaming at the public to invest now or they will miss out.
The emergence of scams has all but crippled many investors. Yet upon closer inspection of these scams, any astute investor would have seen signs of immorality screaming at them. If it looks like a duck, walks like a duck, quacks like a duck, it’s probably a scam. Yet the desperation to make money is what blinds them to all the warning signs and put their faith into unverified traders and Ponzi schemes. Let’s put our spotlight on two of the most recent scams:
This website is so bear with information, yet it duped people into a $50mil scam. You’ll find it here. At the bottom of the page, you’ll see that they guarantee 5% per week returns. More so their so called esteemed trader was a binary trading specialist. Any legitimate trader knows that binary in itself is a border line scam. You aren’t actually participating in the market, you are betting on it. More so, the statistical probabilities of winning are vastly skewed. Basically, you only win 75% of what you risked, and you lose 100% of what you risked. That alone takes the statistical probably of winning, if all is equal, down to around 42%.
As soon as you saw “guarantee” and “binary”, you should have shut down your laptop for fear of a virus or malware infection. Where was Steven Twain’s trading performance? The only thing they had was his claim of 6 years’ experience in binary trading. No professional trader will ever guarantee returns. The trading environment is volatile, and a trader never knows for certain the distribution of wins and losses. All they can do is play their trading edge over a large enough sample size of trades, knowing that in the end, they will produce positive returns. No one controls the markets. A trader offering guaranteed returns is ludicrous as this would assume he, in some way, can manipulate or control the market.
this infographic perfectly lays out the warning signs and demise of BitConnect. So, BitConnect asks investors to send them bitcoin and in exchange the investor would gain daily returns. Investors would only be able to withdraw their money after a certain holding period.
BitConnect provided no statistical analysis of their performance and only disclosed their proposed performance and payouts through testimonials. They promised large returns depending on the tranches of capital investors gave them. It was a clear Ponzi scheme and they used the old adage, “some things are best hidden in plain sight.” How on earth could those returns be promised and sustained? Once you gave them your money, you had absolutely no control over it, and had to wait in hope that you’ll get your money back after the holding period.
This is what Traderly is trying to solve.
Traderly has been in operation since 2017 and has proven to be a viable platform for all its investors. Essentially, it’s a social investment platform connecting investors with professional institutional traders. But what makes Traderly so effective, and how will it seek to end these scammers? Let’s take a look.
Investors always have complete control over their capital: Traderly allows investors to copy the orders of professional money managers made in real time. This means that all an investor need is an account with a trusted brokerage of their choice. The investors capital never leaves his account. The orders placed on the trader’s account are instantly executed on the investors account. The investor can select to unlink their account from that trader at any time and withdrawal their funds from their account.
Investors can create their own portfolios, essentially allowing them to allocate specific portions of their capital to different traders creating a sustainable portfolio of medium and low risk traders to limit the volatility of their accounts. Investors can even specify the amount of money to be risked per trade relative to the trader’s risk.
Traderly will only host a handful of professional institutional traders. Each one of these traders is handpicked and vetted personally by Traderly to ensure that the traders are of a high calibre and that they are verified professionals. More so investors will have access to in-depth analytics and statistics of all the traders accounts and past trading performances.
Investors essentially have access to high performing traders at no cost. There is no sign up or setup fees let alone management fees. The traders essentially get paid through the volumes of orders placed by the brokers. Yet there is no conflict of interest as traders must trade their own capital. The better the traders’ performance, the more capital he/she will attract and in turn the more money he/she will make.
What does this all mean. It means that now everyone has a trusted platform with which to invest their hard-earned capital. Traderly makes no guarantees but makes sure that the traders are profitable ones. It gives absolute control to investors while handing over the difficult aspect of making money to the respective traders.
The promise of large guaranteed returns is extremely appealing to many desperate individuals. Because of this desperation, of course there are those willing to take advantage. It’s so easy to make a website and with enough marketing and fake reviews convince people to part with their hard-earned cash in hope that the Fake trader will deliver on their promises. But who actually vets these traders. Who actually enquires about their performance and legitimacy. So, before you go invest in another possible scam with wild claims of returns, wouldn’t you rather invest in a trusted company that is trying to solve this problem?