Onos AI: USDT-xUSDT
Last updated
Last updated
Onos AI is Xi's first AI Trading Agent.
We are summarizing its specifications below as an example of our future AI Agent listings.
The Onos AI token is powered by an automated AI Trading Agent operated by Onos LABs, specifically designed to exploit market inefficiencies by trading USDT and generating profits in USDT.
The Kronos Delta Neutral strategy, developed by ONOS Labs, leverages market inefficiencies at a micro-structural level. This strategy functions as a liquidity provider, focusing on arbitrage opportunities involving stablecoins such as USDT, USDC, and other asset classes, including fiat currencies like the Turkish Lira and Brazilian Real.
All operations are fully hedged through a separate broker, ensuring that Kronos maintains a Neutral Delta, avoiding exposure to the volatility of any asset when opening positions.
The accompanying graph illustrates the USDC/USDT pair as quoted on Binance US. While USDC, a stablecoin pegged to the US dollar, is expected to maintain a constant parity, its value relative to USDT—a competing stablecoin—shows fluctuations.
These variations, despite the theoretical stability, are exploited by Protein Arbitrage algorithms to generate profits. For instance, while USDC should ideally maintain a 1:1 ratio with the US dollar, occasional deviations of over 2% can be observed on certain days.
It is important to highlight that such deviations are temporary, as USDC remains collateralized and regulated, ensuring its long-term stability.
This pair should theoretically always maintain a 1:1 ratio, with no disparities. However, mechanical inefficiencies at a structural level arise due to various factors, including liquidity conditions, global economic policies, stock market fluctuations, Bitcoin volatility, and more.
The graph above provides another example of the USDC/USDT pair, where mechanical inefficiencies occur daily, ranging from 2% to 15% or more in some cases. Our advanced technology and algorithms capitalize on these inefficiencies by identifying them at a microstructural level and executing trades within seconds. Depending on the scenario, operations can last from seconds to minutes or even hours, as these inefficiencies manifest under varying conditions.
Historical (Months)
14
Losing months
0
Total Volume (USD)
26.137.156,00
Net annual Yield for investor
21,42%
Drawdown
-1,8%
Annualized Net ROI ≈ 21,42%: Net return received by the investor based on historical performance.
Losing months 0: We have never lost any month in our 8+ months of history.
Maximum drawdown ≈ 1.8%: Last months (updated with the new version of the algorithm).
Liquidity≈ your liquidity is available in as little as 24 hours
Technical failure risk: The algorithms used include stablecoin hedges; however, there is a possibility that some trades may not be hedged correctly, leaving the asset exposed to volatility.
Risk of disappearance of arbitrage: Arbitrage tends to disappear over time, generally due to the entry of large funds operating in the market and increased competition. This implies the risk that arbitrage opportunities may be reduced or disappear in the future.
