Single image showing why funding arb is not free money. Graph shows backtested PNL of one of today's top opportunities (PURR), currently running at 450% APY. Very likely that in a few days this continues to be down only. Execution costs are excluded here, so reality looks even worse. It's of course possible to make money via funding, but it's rarely from these short-lived, extreme outliers masquerading as "opportunities". A sophisticated execution system that can open and close these high APY situations efficiently helps, but if you normalize these temporary returns over a year, you'll probably land somewhere around 20-30% APY (which of course is still good). And if that's the number to beat, basis arb becomes an interesting and more relaxed alternative (especially if done manually) that also offers less volatility. In contrast to many other funding rates comparison sites, our new platform (coming this Q4) will highlight funding arbs AND basis trades.

Trade on 8+ perp dexes in one clean terminal interface. Spot and perps. Manually or via automated strategies. Customize (!) your strategy and/or let them run cross-exchange. Easily monitor your total exposure and risk metrics across all exchanges in one single unified portfolio overview. All coming this Q4.

Some might be suffering from farming fatigue, but definitely not us. The points program on @extendedapp will most likely end sooner than later, but we are not slowing down. Planemo Trading has been the top builder in revenue, fees generated and fees generated per user for the last 1 day, last 1 week and last 1 month on Extended.

We are obviously not the biggest advocates of manual trading, but the NATGAS situation of the last few days might be worth your time. Currently pacing at around $1,000 per day between @OndoPerps and @QFEX ($10k margin in total between both exchanges). Might be worth your time.

Planemo Trading turns 1 today.🎂 We started late last year as a little "side project" with a single strategy on Lighter. We did not expect that one year later we would have processed over $5 billion in trading volume across 8 exchanges. From rather simple volume generating strategies to quantitative algorithms that can produce net profits long-term, our full trading suite has evolved tremendously. We have also closed several commercial partnerships with leading exchanges in the last few months (more on that soon), plus quietly raised funding from some of the most prominent DeFi builders and angels in the space (also to be announced soon). On top of that, we have now reached an annualized revenue run rate exceeding $1M. We are still officially in our alpha version and are getting ready to officially launch our beta before the year is over. A lot of big announcements coming here soon, and we can't wait to see where we are next year! Thank you to everyone who has joined us so far on this journey.

We at @PlanemoTrading were among the first 15 users to implement priority fees on @HyperliquidX for internal testing and are a top10 wallet by fees spent so far. From our own tests across 1,000+ transactions, we can see that this update serves effectively as a speedbump for IOC orders on HIP3. Our latency increased by roughly the 8x45ms that is outlined in the docs as maximum possible speed increase. It would be interesting to analyze the current user base of priority fees to find out what strategies are being run that justify implementation. The docs mention the reasoning behind priority fees is to prevent the escalation of an arms race of ultra-fast market makers. We are not ultra-fast nor a market maker. We so far don't see the value of paying 8bps extra just to get the speed we got "for free" a week ago. Our strategy does not necessarily benefit from being faster than other takers, but it certainly hurts performance if we are slower while order cancel/refresh stays the same as pre-update. So looks like some strategies could end up as collateral damage here as an unintended (?) side effect.

Since we are taking multiple calls with exchanges, users, and other founders basically every day -- and give the same background story on every call, here it is now in case you are new to @PlanemoTrading. Quick thread below on everything you have to know.👇

New venue, new integration. We are live on @OndoPerps. Our full algo suite, open from day 1: - orderbook imbalance (our signature strategy) - momentum edge - Hyperliquid copytrading - statistical arbitrage Week 1 users get: - 0 builder fees - 20% off trading fees via our referral - Ondo USDC rewards + Ondo points, paid weekly. More volume and longer holds = bigger share. Start here: ondo.planemotrading.xyz/ Every user runs on their own dedicated server instance, so first trades usually land within hours of signup. Strategy breakdowns below.👇

Today we are launching our most advanced and stable algorithmic strategy yet, exclusively on @HyperliquidX. It's the combination of a basis trade and funding capture. Put simply: - Spot assets are bought when they are cheaper than their perp counterpart. The perp counterpart is being shorted. - While the short is open, funding is collected. Funding rates can of course change, but long-term the vast majority of funding periods should pay you when being short given the traded tickers. - An additional profit is realized when the pair is closed on sport-perp price convergence. The strategy can trade every pair combination on Hyperliquid that is listed as SPOT and PERP asset, including HIP-3 markets. In practice however, markets like BTC or ETH will probably only be selected a few times a year as they are too efficient already. However, with new token listings appearing on a weekly basis, there is a constant opportunity across more illiquid books and mispriced markets. If Hyperliquid continues to stay on its current growth trajectory and spot markets gaining further traction, the performance and capacity of this strategy can even increase in the future. In the test month (see screenshot below), we were already running at a 50%+ APR, all while only having to deal with one exchange and not needing to spread our collateral across several DEXes to realize an opportunity. If the % return comes down long-term to even half of that, it's still a massive win given the lack of bigger drawdowns. We estimate the current TVL capacity for this strategy at somewhere around $5M before yields compress to <10%. We are opening this strategy now to the public and will cap access at $2M combined TVL. Minimum is $1,000, maximum is $20,000 (higher amounts in your balance on Hyperliquid will be ignored and the strategy just treats it as $20,000). As this strategy is purely focused on PNL, which is mainly created via funding payments, we won't even be earning enough via builder fees to cover the individual server costs per user. That's why there are 2 ways to access this strategy right now: - All preseed participants have access. - $5 million in lifetime trading volume across any Planemo Trading algorithm (on any exchange). More details and get started here: hip3.planemotrading.xyz/basi… Please take the one minute and read through the FAQ on the link above. It will probably take up to 48 hours to see stable performance (once positions have been opened, see graph below and the flat line at the start). Once you are ready, open a Discord ticket to go live. We will attach a couple of screenshots from several of our test accounts of the past few weeks so you can get an impression of how this trading performance looks like on the Hyperliquid frontend.

gm from the #2 on the @Lighter_xyz leaderboard. On Saturday I traded more than $90M (total exchange volume was around $300M that day) by manually PvPing several bots. As a hook for the reader: This all was done clicking buttons manually (no API/algo trading at all, so this is a bit off topic from our regular posts about algo trading) from a couch while watching TV. Since this caught quite some interest (and the alpha is gone now), allow me to make some corrections to the quoted tweet and tell the story of how I went from 10 points to rank 2 (400+ points) within 24 hours. Late Friday evening, one of our @PlanemoTrading order book alerts started firing every few minutes, most often for QQQ and SPY. Basically our system identified an operator that was blindly crossing the spread on those tickers every time liquidity was posted within 1 tick, so for instance a buy order at 775.98 and a sell order at 775.99 would be instantly taken by this account, therefore instantly realizing a trading loss (more on that later). Quick background on how we found this in the first place: We run (cross-venue) statistical arbitrage, most visibly across the HIP-3 deployments on Hyperliquid: same ticker, different venues, and we take the spread when it exists. When the @RobinhoodCrypto instance launched on Lighter we were integrated within hours and traded it for a few days, but the lack of liquidity didn't make it worthwhile and we stopped. However, the connection/websocket streams stayed live for the past month and ran through our regular system which includes something like an "anomaly layer". Put simply, it watches order book behavior on everything we touch and flags anything structurally odd for manual review, so we can decide if we have to adapt our logic. We get these flags constantly (we are now already past 1,000 individual orderbook streams) and most of these flags are noise, depending on how sensitive the filters are set. This one on Friday night however repeated every couple of minutes, in the same two books, and for hours at a time. So Friday night I tested it by hand. Posted two sided liquidity one tick apart, and it got taken almost immediately for a tiny profit. Saturday morning the alerts had run all night, faster and in bigger size. So I sat down on the couch and started posting liquidity manually. To be clear about the level of "sophistication" involved: This part was one guy (me) typing orders on the Lighter frontend UI while watching TV. The clever part had already happened when the system flagged the pattern. (To be fair, you could have easily spotted this behavior manually too by just looking at the orderbook for a few minutes fwiw.) Early on, orders sat in the book for minutes and got nibbled in bites of 3 to 5 units, a few thousand dollars at a time. By midday the counterparty woke up properly. Fifty unit clips, about $35K a side, gone within a second of posting. Then 100s. Then 200s. At some point I was resting 500 to 700 units per side (so up to $500,000) and watching it clear in seconds, a few dollars of spread each cycle, over and over. Two or three hours in, company finally arrived. Top of book size (in units) that had been mostly mine became 1,000, then 1,500, sometimes north of 2,000 (roughly $1.5M deep top level) as other makers piled into the same trade. For a few hours it was pretty fun when there were multiple people constantly cancelling and requoting to make sure they are in the first slot top of book. New takers showed up too. The original one always swept both sides in the same second. Others went sequentially, one leg, then the other, 2 to 3 seconds apart. I didn't check the chain in detail, but I think there were at least three distinct takers absorbing everything posted based on the different manners of execution and clip sizes. So, why would anyone blindly cross spreads all day? We can only guess at the motive, but the math points somewhere: at 0.1bps spread and 0 taker fees, the cost is about $10 per $1M of volume, and that Saturday $1M of taker volume (free account) earned around 6 points. So <$2 per point, even without knowing details about the current campaign, is probably a good deal. Of course its their trade, their economics. Ours was simply earning the spread on huge size, almost (!) risk-free (more on that soon). A few hours in is when I realized that I was suddenly number 4 on the leaderboard (lol). By end of day: roughly $90M traded, $2K net profit, around 400 points. Rank zero to rank two in under a day. Late Saturday I did another 10M or so of volume that, it turns out, earned exactly zero points. The program had changed at some point in the afternoon and I hadn't noticed. I of course kept quoting anyway since the PnL trade was the goal. Now, about "wash trading" from the quoted tweet. Wash trading means you control both sides of a trade (resting maker orders and being the taker), so that beneficial ownership never actually moves. That's zero risk, fake volume, and of course should always be filtered out/banned. What I've described is the opposite, and the roughly 5% of the time it went wrong (resting orders not immediately being filled) clearly shows it. Most of the quotes got taken on both sides immediately. The rest of the time, usually against the sequential taker bot when the price ticked more than usual, only one leg filled. In that moment you are naked long or short a single leg of $300K to $500K on a $20K account. It happened a couple of times an hour, and at least five times I sat properly holding the bag for minutes before I could get it flat. On a weekend. Anyone who has traded on high leverage knows exactly what that feels like. One geopolitical headline and a 5% move and that account is zeroed out in a second. This was deliberately degen with a small test account and I was fully aware of the risks of an unhedged position of that size. I have traded perps for the better part of a decade and this trading behavior is like the famous turkey happiness graph. This will go wrong eventually. I do not recommend anyone doing this, you will get rekt eventually. Wash traders do not get left holding an unhedged half million dollar leg on a trade they control both sides of. There's a structural/technical point to make too. On a busy book like Lighter you can't even guarantee your own maker gets matched against your own taker when trading on the UI. Anyone who truly wanted to wash trade there would have to build it algorithmically, precisely timed, purpose built to self match. Since Sunday the books on QQQ/SPY have changed. Spreads on those markets are far wider, and the unit economics moved with them: roughly 2 points per $1M of maker volume now (only premium accounts), against about $110 of maker fees on that same volume. Assuming break even trading, that is real money per point ($55 per point), for rewards nobody knows the value of. Whatever one thinks of the program changes, and I don't have a settled view yet, the window that made Saturday work is closed. So that was my weekend. PVP happens on every exchange with every single trade (by definition), this was just a very visible one.

There is a reason that we @PlanemoTrading are responsible for almost 50% of all builder revenue generated on Extended ($280k out of $600k total for the exchange). The majority of our strategies are based on taker flow, so each order is taxed with 2.5 bps in fees that flows to the exchange, compared to 0 costs from maker orders. Our main Surge algos are based on orderbook imbalances, and only execute trades when it's highly likely that the price moves into the beneficial direction. On average, a trading profit is created which offsets partly the trading fees. Extended usually rewards taker volume with 3-4x the amount of points compared to maker volume. That's why -- if you want to farm at scale and be efficient -- there is no better strategy than to farm Extended with our Surge Pro algo. On a pure CPM basis, there might be some maker strategies out there that are cheaper, but you also only get 20-25% of the points compared to our taker flow, making our Surge strategy the overall dominant one if you want to farm points. You can even farm with a positive PnL (also with us, via our delta-neutral strategies), but volume is highly limited, aka points will be limited too. We have had several users go from 0 to 50,000+ points within the last few weeks via Surge Pro. So, TLDR: If you are bullish Extended, and think it launches above $150M (most forecasts assume $150M means that 1 point = $1), you should give our Surge algos a try before TGE. P.S. Taker strategies also earn full volume points in the current "Final Arc" competition, whereas maker order volume is punished with a 90% points penalty.

This alpha is still alive right now and can be executed just by clicking buttons on Hyperliquid. NFA and there is no free money in perps and everything carries risk. We've been busy this morning. Across 313 spot pairs and 526 perp listings, there is currently only one basis trade executable on HL. ethereum:0x31eea0edeb85b0cb65c1400bd2f4e487fd61b537's perp listing has been trading up to 2.5% higher than its spot equivalent over the last few hours, and we have been busy building a position here. While surely only temporary, shorting the perp currently pays 2% daily in funding on top. We are happy with the accumulated position for now, so sharing this here for everyone. Biggest risk is a liquidation wick on the perps side, so make sure you keep an eye on things and know what you are doing. We'll have this trade across many exchanges and fully automated soon on @PlanemoTrading.

Our take on the SK Hynix ADR premium, from the filings rather than the vibes. Two camps on the timeline the last few days: free money, and no-mechanism-pure-sentiment. IMO both are wrong. 1. Cancellation is open. ADS holders can surrender to Citibank, the depositary, and receive the underlying Korean shares. SK Hynix even pre-filed a Korean-language registration with the FSC for investors buying shares converted from ADSs after the offering. This direction works. It's also useless at a premium: cancelling means destroying the expensive thing to receive the cheap one. 2. Creation is gated twice. Per the deposit agreement, deposits that would push the ADS pool past a specified maximum need SK Hynix's prior consent, and the filing warns that consent may not be given. On top of that, issuing new ADSs against deposited Korean shares counts as a securities offering in Korea, requiring an FSC registration statement that only SK Hynix can file. The company's own words on filing it: "we have no obligation to take any such action." So the only conversion flow that could crush the premium sits behind the issuer's discretion, twice over. 3. July 29 is real, but it isn't what most people think. Per SK Hynix's press release, the newly issued shares underlying the ADRs will be "additionally listed on the KOSPI Market of the Korea Exchange on July 29." That lists the underlying shares in Seoul. Nothing public says creation uncaps that day. 4. The terminal value isn't parity anyway. TSMC, the closest structural comp, compressed from ~25% to ~14% over years of top-down issuance, and UBS cites a ~16% average premium this month. Convergence, for the best comparable, means ~10%+. Not zero. What that leaves: A spread that now floats on flow and one company's discretion, while the perp version of the "arb" pays triple-digit annualized carry (per the OP's numbers) to wait for a valve only SK Hynix can open. Our honest position: we're pretty confident in the analysis above because it's in the filings. We are not confident in what SK Hynix or Korean regulators do next, and neither is anyone else posting about this. We trade funding-anchored spreads with mechanical convergence and a rolling baseline. This has none of the three. Cross-border regulatory punts are not our edge, so we'll sit this one out and watch from the sidelines. Knowing which trades aren't yours is also alpha. Sources: Prospectus (SEC): sec.gov/Archives/edgar/data/… SK Hynix newsroom: news.skhynix.com/skhynix-lis…

a price difference between two exchanges is not an arb. sometimes one venue is permanently 10bps rich: funding skew, fee tiers, oracle lag. trade that raw spread and you're long a basis that never converges. you're just donating fees. the real edge is knowing each pair's structural baseline and trading deviations from it. spread stretches past its own mean + costs → long the cheap leg, short the rich one, collect the snap back. to baseline, not to zero. our stat arb machine does this 24/7. example fills below on @OndoPerps and @tradexyz: same nasdaq perp, two venues, both legs filled the same second, net green, zero directional exposure. price differences are everywhere. real dislocations are rare.

We resumed HIP-3 statistical arbitrage between @tradexyz and @Markets_xyz exactly one week ago. Time for a quick recap: - On our $10,000 test account, we are up 1% overall. - The only markets traded are the only ones available on Markets: US500-USDC and QQQ-USDC. - The account had a winrate of 100%, meaning every single trade was net positive from open to close. - You can see the graph is basically up only, the few bumps down are just new trades opening (fees are realized at open). - Second screenshot shows a typical trade. Oftentimes both legs and up in profit. - Earned some kPoints and invisible HL S3 and XYZ points too of course😅. - We need more markets ASAP so there is space to trade millions per day in this style. @Markets_xyz, please🙏!

our quant algo on @HyperliquidX continues to print. now launching on @extendedapp in the next few days. early results look even better than this.

Since this got quite a bit of interest, here is bit more analysis on this insane wallet: - PnL: +$13.11M all-time perp PnL on $220B volume (0.60bp/$), zero losing months in 15 months, +$1.47M last month. Daily it's not up-only (20/32 positive days, worst day −$662k), but monthly aggregation makes it look monotonic. Sharpe ≈ 8–17 annualized depending on window. - Priority fees: order-priority fees are burned from undelegated staking balance and only work on IOC orders, they keep exactly 738 HYPE undelegated, and their taker legs show +5 to +41bp 1-minute markouts (informed, lead-lag driven probably). They pay up to 8bp to win races that earn more. Fully consistent with 20% of all burn. - Resting maker orders: 84% of $320M/day volume is maker flow at −0.3bp rebate (top tier = ≥3% of the entire exchange's maker volume). Net fee line ≈ zero-to-positive. - ~40 quoting engines, one per market: ~14 subs quote only BTC, ~10 only ETH, plus SOL/ZEC/HYPE/XRP/DOGE specialists. They use post-only (ALO) orders exclusively, ~$500–4k clips, requoted at extreme cadence (we caught "songoku" submitting 2,000 order actions in 6 seconds; >50% get badAloPxRejected which must be deliberate, cheaper than cancel/replace) - 8 HIP-3 books market-making stock/index/commodity perps xyz/cash: S&P500, Nasdaq-100, crude, gold, silver, single stocks. "kaioshin" quotes 48 equity symbols simultaneously with $8.7M resting and made +$576k last month alone, the account's best book. - 6 "android" taker accounts (android16/17/18, guldo, recoome, red) which pay the priority fees. These fire IOC bursts (85–100% same direction, median $5–13k, up to $1.5M) when a short-horizon signal triggers (?) their fills have +5 to +41bp markout at 1 minute, so the signal is real (almost certainly Binance/CME lead-lag plus breakout detection; e.g. the biggest June burst: +$870k of ETH bought at 12:30:29 after a +94bp 30-min move, a breakout chase). They hold minutes-to-hours and exit partly through the maker books' side of the market. Lately this machine roughly breaks even to slightly negative (−$111k for android17 in June against the makers' +$1.7M). Could be the R&D/alpha overlay and the tail-risk response force, not the profit center. This is where the 20%-of-all-priority-fees goes: paying up to 8bp to win the race when the signal fires is cheap against a 40bp expected move.

We quietly shipped an update to our HIP-3 stat arb engine yesterday. First results are straight 🔥🔥🔥. During volatile periods yesterday, some accounts experienced quite a gold rush, earning up to $1 per SECOND for a few short minutes. We launched the first version almost 8 months ago, and it's very nice to see how far the system has evolved since then (from losing a little, to break-even, to earning a little, to earning quite nicely).

Slow & steady, like clockwork. With no trading fee discount, profitability hovered around 1bps (measured against volume) this week, which might seem low to some, but it's not. If you check the biggest algorithmic accounts on Hyperliquid (billions in monthly volume), the range that most fall in is between 0.2bps and 2bps, and that already includes a sizeable fee discount from volume tiers and staked HYPE. We aren't at the billions per month level yet, but since we are only trading 4 markets with this strategy, very happy with the consistency and profitability.

HIP-3 stat arb last 24 hours: - 498 trades executed - 100% market-neutral - Drawdown??? - Majority of PnL comes from trading $UNITREE across @tradexyz and @tradeparagon - Still need more markets @Markets_xyz