Bot creator spotlight: Tempus Logic
Bot creator spotlight: Tempus Logic
Where would the BOTS app be without our fantastic bot creators? These superheroes are the masterminds and creators behind the bots in the BOTS app. But who are they, where do they come from, what’s their relationship with trading, and what’s the philosophy behind their work?
Let’s find out, shall we?
Today, the spotlight is on the bot-creator team Tempus Logic from Australia: the first bot creator to bring their strategies to the BOTS app usingTradeManager from Stash Trading.
BOTS introduced a partnership with Stash Trading in March 2022. This partnership is the key to bringing trading algorithms from MetaTrader (or any other platform) onto the BOTS app, using the TradeManager bridge by Stash Trading.
The first bot creator to use TradeManager is now live in the BOTS app: Tempus Logic. Kosta Soteriou is one of the founders of Tempus and has over a decade of algo trading experience.
Although I do have a lot of trading experience, my first encounter with crypto was rather painful to be honest.
Kosta’s background comes from economics and finance. Much of his career was spent in financial market analysis (fixed income in particular) and developing algorithms for financial market trading.
The Tempus bots
Tempus Logic has deployed its first bot in the BOTS app: Delta1. “Delta1 is a mean reversion algorithm that uses historical data for its probability model. We also have a second bot lined up and almost ready to go, that will focus on momentum trading. Together with Delta1, we hope the two can get more out of all the moves.”
The algorithms Tempus normally creates are on the more defensive side of the spectrum. “We aim for a 5% realised drawdown and a 12% unrealised drawdown.” However, Tempus quickly learned that the BOTS app users have a very high risk appetite.
The BOTS app users are much more daring, so we need to adjust and maybe become less conservative.
The future of Tempus and BOTS
Because of TradeManager, adding bots to the BOTS app has now become significantly easier, so Tempus is already planning to add more bots to the mix.
“We are really looking forward to the moment we can also offer FX bots. The liquidity in this market is so much bigger than the crypto market. Our bot can really kick ass in FX.”
Another big feature Tempus is waiting for is the possibility of shorting within the bots in the BOTS app. “There is no possibility now to be nimble when the market is moving. It could affect the current bots negatively and they could have a hard time outperforming the markets. With the possibility of shorting, our bot could act quickly and benefit from both sides of the market.” Luckily for Tempus (and all other creators) the development of shorting within the BOTS app is well on its way and expected to arrive soon.
Circling back to the beginning of this article: without TradeManager Tempus would have never been able to add their strategies to the BOTS app. “It is a super powerful tool that can be used for all kinds of platforms and all kinds of assets. A real lifesaver for us”
Bernie (the founder of Stash Trading) is a personal friend of Kosta. “I have known him for a long time and can say that he is, without a doubt, the smartest guy in the room. He worked really hard on this bridge, and seeing it come together has been an absolute privilege. The exceptional thing about Bernie is his understanding of all the underlying market structures, not something you see every day.”
Anybody can write code but not anybody can understand this complicated market structure.
Advice to new bot creators - be the birdwatcher
When asking for advice to new creators, Kosta starts laughing: “Don’t try to understand the market. Because, except people like Bernie, nobody can understand it. The market is a schizophrenic sociopath at best, so don’t even try. You can much better spend your time understanding the instrument.
Sit down and watch the instrument work for a full day, or maybe even more. Forget about the market and all the noise surrounding it. Be the birdwatcher. And by all means, focus on one thing and become an expert in this one thing. Just watch one bird until you are the guy to see about this bird.”
Another point Kosta wants to make is to be aware of the fact that crypto is still a closed loop system. “In the end all roads lead back to fiat money, which always leads to politics. Be nimble and alert, crypto can move quite aggressively and it is easy to get caught up in it.”