- Mizar launched its Mizar Galaxy Fund.
- The Galaxy Fund is controlled by expert traders who trade on behalf of crypto users.
- Profits from the fun are distributed among liquidity providers and a portion is funneled back into the fund to increase capital.
Today, crowd-sourcing has become a viable organizational tool that has evolved from being a mere fundraising source for independent artists, to becoming a means by which a project’s community can influence in its ongoing development. In essence, a democratizing touch has been introduced to the whole process.
Mizar, a smart trading platform for crypto assets, is now applying the principle of crowd-sourcing to cryptocurrency trading, as witnessed by the launch of its Mizar Galaxy Fund.
The Galaxy Fund is managed by skilled traders who execute trades on behalf of cryptocurrency users who may not have the talent or inclination to engage in day-trading on their own. The end user supplies liquidity to the fund by staking tokens, and in return gains a percentage of the profits made by the fund’s expert traders.
Like yield farming for would-be traders, only users who become liquidity providers (LPs) by staking their coins to the fund are eligible to reap its rewards. Profits from the fund are distributed among its liquidity providers, while a portion is also funneled back into the fund to increase its trading capital. An auto-compounding feature, meanwhile, automatically reinvest your profits to continue growing your portfolio.
Traders are ranked in a leaderboard according to various performance-related metrics, and the most successful receive a greater portion of the fund’s profits to further boost the strength of their trading strategies.
Mizar’s distribution of profits to its community of liquidity providers seeks to create a fortuitous feedback loop, where the potential success of the fund attracts more users, who in turn provide more capital to the fund, which in turn can reap more profits on its successful trades from having a higher capital allocation.
A hedge fund by the people and for the people, Mizar Galaxy removes the skill-curve and time constraints that come with managing an active investment portfolio, while still delivering rewards to users commensurate with the value of tokens they have staked on the platform.
In a nutshell, Mizar is a crypto-centric trading platform that allows talented traders to maximize earnings from their strong performance. All capable traders can become part of the Galaxy Fund providing they demonstrate their ability, while the creation of automated trading tools – bots – help execute and automate trades according to parameters defined by the user. All Galaxy trades come from bots expressly developed on Mizar or via the smart trading dashboard.
Even novice traders can benefit from the experience of more seasoned veterans through copy trading, whereby newbies can ape the trading strategies of the most successful traders on the platform. Mizar also allows for the creation of automated trading tools – bots – that execute trades automatically according to the parameters set by the user.
User contribution of trading strategies has become a common feature of many crypto exchanges in recent years, allowing a peek inside the day-to-day realities of being a crypto day-trader, and allowing aspiring traders to get an instant leg up.
User contributed hedge funds in the form of Mizar Galaxy take this process a step further; combining the user-led principle of copy trading with the principle of passive income that comes from staking.
The regular re-balancing of the fund’s active investments and strategies according to monthly performance provides a bulwark against market volatility, and according to the Mizar team, makes the Galaxy Fund a market hedge of its own. Mizar users will be hoping the positive feedback loop of the Galaxy fund begins spinning soon.
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