Swan is a decentralized volatility arbitrage hedge fund that crowdsources trading strategies from the smartest people in the world. Traders compete with one another to build the best trading strategies to profit from crypto volatility.
Trading strategies are tested in “The Hatchery,” an incubator and set of development tools to build, challenge and deploy strategies. Once approved and tested with limited capital, these strategies are promoted to “Swan Lakes” where capital restrictions are lessened and the public can invest. Investors can browse the available Swan Lake trading strategies, compare performance, and select which they would like to invest in.
Profits from the Swan Lakes are paid to the trading model developers, lake investors, and the Swan treasury.
Traders will be compensated as a percentage of the profits of the Swan Lake that uses their models. Over time, superior performance will attract capital, greater capital will attract better traders, and better traders will develop even better models, thus perpetuating a flywheel that drives Swan’s success.