The FTX collapse, arrest of Sam Bankman Fried, and the subsequent collapse of the crypto market opened new opportunities for Kasper Vandeloock, while other players were forced to exit the market.
Note: There are 2 parts to this interview. Part 1 was recorded prior to the collapse of the crypto market due to the downfall of FTX. Part 2 (listen right after Part 1) is a follow-up interview with Kasper to get his perspective on the impact of the collapse of FTX and how it impacted his strategies.
When Kasper was just 16 years old, he received his first Bitcoin as payment for his programming skills. Intrigued by the emerging opportunities in crypto currencies, he dropped out of high school to dive deep into learning everything he could about this fast-paced new type of finance and medium of exchange. Spotting market inefficiencies in prices between the different exchanges inspired Kasper to write his own programs which took advantage of delta neutral arbitrage opportunities.
Trading in the financial markets involves a risk of loss. Podcast episodes and other content produced by Chat With Traders are for informational or educational purposes only and do not constitute trading or investment recommendations or advice.
Topics & Timestamps:
Please note: Exact times will vary depending on current ads.
- 0:00 Background and goals
- 6:40 What makes crypto fascinating to Kasper
- 7:50 What types of crypto did he buy in the beginning
- 9:30 Perception of crypto
- 12:15 Why be a quantitative trader with crypto and strategies used
- 18:12 What is a perpetual contract and yield opportunities
- 27:30 Advantages of Defi
- 28:30 NFT’s and their perceived value
- 33:13 Reasons for prior market collapse
- 35:00 Motivation for starting a quant fund
- 37:45 Micro service architecture design and its advantages
- 40:20 Starting a Crypto fund
- 42:25 Long term goals
- 43:45 Regulation needed?
- 44:45 Mindset of an algo trader versus a discretionary trader
- 46:45 What Kasper struggles with most
- 48:40 How did Kasper learn—Mentors?
- 51:10 Sacrifices taken
- 53:10 Suggestions for those curious
- 54:20 How to reach Kasper
- 1:00:35 Recap update and reasons for collapse of FTX
- 1:03:49 FTX impacts on crypto’s, NFT’s and lending
- 1:05:33 How was Defi affected by the FTX collapse?
- 1:06:33 Impacts on Kasper’s strategies
- 1:08:53 Players leaving the crypto space increased opportunities?
- 1:10:35 Use of leverage
- 1:11:40 Central banks saying crypto is irrelevant. The end of crypto?
- 1:15:35 Regulation needed for Defi?
- 1:17:35 Very bearish sentiment. Contrarian indicator?
- 1:19:35 How to increase trust in the centralized exchanges
- 1:22:04 Need for algorithmic stable coins?
Links & Resources
- @KasperLoock [twitter]
- Medium Article – Profiting from Inefficiencies in the Crypto Markets
- Medium Article – Building a Quantitative System