Crypto punters shouldn’t be throwing extra cash at AI agents for trading — just stick to what you’d invest if you were trading solo since there will still be losers, a crypto venture capitalist says.
“Trading is always a zero-sum game,” Web3 venture capital studio LiquidX co-founder Giulio Xiloyannis tells Hall of Flame.
“There is always somebody that has to lose money for somebody to make money,” says the entrepreneur, who is originally from Spain and is now based in Malaysia. He explains that while it may not be at the exact moment, “ultimately you gotta exit to somebody to realize your value.”
The 35-year-old believes AI agents are the “strongest proposition” he has seen in the industry but warns that the system cannot change market fundamentals.
It is “mathematically impossible” for AI agents to make the overall market “more profitable,” the former fashion entrepreneur turned crypto bro reiterates.
For that reason, traders should avoid the temptation to “give more budget” to the latest shiny *toy* in crypto, Xiloyannis suggests. “Your risk allocation should be dependent on the asset category, not on who trades it,” he warns.
But AI agents do give the ordinary everyday battlers something they didn’t have before, “time:”
“By having an AI agent, the ideal version is another version of yourself, but with their eyes 24/7 on the charts.”
AI agents also “level the playing field” for the average person trying their luck in the crypto market against professional high-frequency traders who are “raking in a lot of value from retail traders,” Xiloyannis says.
Oh, and AI agents don’t get caught out by cognitive biases like humans do.
“The human mind, the emotions, are the biggest enemy of the trader,” he declares.
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