Quant Trading

Higher-order power perpetuals—starting with square power perpetuals (editor's note: meaning squared). Squeeth is the first squared power perpetual product, offering pure risk exposure to the quadratic component of price risk. We can approximate many payoffs by combining higher-order power perpetual options with 1-perps (futures) and 0-perps (collateral). If we need more precision, we can approximate any function—sin(x), e^x, log(x), or any other function—by using a combination of power perps with integer powers weighted by the Taylor series. A world where power perpetuals, collateral assets, and Uniswap LPs interact well could be very interesting.

: Reading cryptocurrency charts is one of the essential skill a trader ought to possess in order to maximize value in the market. This article explores practical methods of reading cryptocurrency charts.

"Starting to care about politics through a meme," this is a reflection of the past decade of American politics becoming entertainment in the realm of imagery.

Perpetual contract funding rate arbitrage refers to the simultaneous execution of two transactions in the spot and perpetual contract markets, with the same underlying asset, opposite directions, equal quantities, and offsetting profits and losses. The goal is to profit from the funding rates in perpetual contract trading. As of 2025, this strategy has evolved significantly, with average funding rates stabilizing at 0.015% per 8-hour period for popular trading pairs, representing a 50% increase from 2024 levels. Cross-platform opportunities have emerged as a new arbitrage vector, offering additional 3-5% annualized returns. Advanced AI algorithms now optimize entry and exit points, reducing slippage by approximately 40% compared to manual execution.

In this article, we perform a pre-selection of token pairs of interest. We then derive the mathematical formula for finding the optimal arbitrage between two pools of the same token pairs.

Triangular arbitrage serves as a strategy in crypto exchange trading, leveraging variations in exchange rates within a single market or across multiple markets.

In cryptocurrency and financial markets, technical analysis tools are essential for making informed investment decisions. This article explores the Keltner Channel indicator, explaining its application principles, pros and cons, and comparing it with other technical indicators to help readers better understand and use this tool effectively.

This article explains the COG strategy, including its definition, how it works, implementation methods, pros and cons, and practical examples to help readers understand and use this strategy effectively.

This article provides some basic technical analysis indicators and methods for cryptocurrency investors, helping beginners to quickly get started. Indicators can provide objective data to reduce our emotional trading and improve the accuracy of price predictions.

Will quantum computing pose a threat to Bitcoin's security? This article delves into the evolving landscape of quantum technology and its potential impact on blockchain. Learn about the challenges quantum computing presents, the current safeguards in place, and how the crypto community is preparing for a quantum-resistant future.

Gate Research Report: From July 8 to 21, 2025, the crypto market experienced a notable upswing, driven by a combination of favorable policy developments and strong technical momentum. The game-focused public chain CROSS led the rally with a remarkable 476% gain, while GAL, SUSHI, and other tokens saw significant volume-driven price increases, attracting short-term capital inflows. Large-cap assets like ETC remained stable, serving as liquidity anchors. The market overall maintained a pattern of “theme-based rotation and mid-to-large cap resilience,” with volume surges continuing to be a key indicator of sentiment. Meanwhile, airdrop campaigns from projects such as Orochi, Gradient, OneFootball, and Fleek have recently gone live. This article outlines participation methods to help users capture potential upside and rebound-related opportunities.

This report conducts a detailed backtest comparing the investment performance of Dollar-Cost Averaging (DCA) versus Buy-and-Hold strategies for BTC, ETH, SOL, GT, and their combinations in Gate.com investment products from September 1, 2021, to December 30, 2024. The report uses an example-based approach to demonstrate the calculation steps and core formulas for each strategy, accompanied by data tables for key periods.

A funding rate arbitrage quantitative fund is a specialized investment tool designed for the cryptocurrency market, aiming to generate stable, market-neutral returns through perpetual contracts’ funding rate mechanism. The fund’s core strategy involves simultaneously holding both spot and hedged perpetual contract positions, which utilizes market fluctuations' hedging effect to focus returns on funding rate payments. This approach is ideal for investors seeking consistent returns with lower risk tolerance. In comparison to traditional financial products, funding rate arbitrage funds offer greater return potential. The use of quantitative models enhances decision-making, ensuring efficient and precise capital allocation.

This report provides an in-depth analysis of market trends from February 3 to February 17, covering Bitcoin and Ethereum market volatility, funding rates, long/short trading volume ratios, open interest, contract liquidations, and the correlation between BTC and traditional financial markets (S&P 500 ETF). Additionally, the quantitative backtesting section focuses on the market performance of newly listed contract trading pairs, offering investors more comprehensive market insights.

Gate Research Quantitative Report: Between February 18 and March 3, 2025, the market exhibited key characteristics such as BTC's heightened sensitivity, ETH's lack of momentum, and intensified deleveraging. The BTC long/short trading volume ratio fluctuated between 0.90 and 1.10, while ETH remained in the 0.85–1.05 range, indicating weak rebound strength. BTC funding rate volatility increased, accompanied by a decline in open interest and a rise in long liquidations, suggesting that the market may be undergoing deleveraging or short-term liquidity tightening, with investor sentiment leaning towards caution. Additionally, daily issuance of Solana-based meme coins dropped to 40,000, marking a 65% decline from its January peak, reflecting diminishing interest in short-term speculative assets. Backtesting of a mean-reversion strategy using the standardized MACD indicator showed that the strategy effectively identified pullback opportunities following excessive price surges, providing short-selling signals for tra