Risk Disclosure
The honest version
Trading bots execute strategies. Markets do not owe those strategies a return. Documented community results for popular strategies include double-digit annualized gains in favorable regimes and total position losses in unfavorable ones. Anyone promising otherwise is selling you a scam, not a bot.
The risk stack
- Market risk: grid bots bag-hold in downtrends and underperform holding in breakouts; DCA bots exhaust safety capital in deep falls.
- Leverage risk: futures bots add liquidation and funding-fee mechanics on top of market risk.
- Fee drag: round-trip fees consume tight-edge strategies; subscriptions are payable whether or not the bot profits.
- Custody and counterparty risk: third-party API keys can leak (documented: the 2022 3Commas incident); platforms can shut down, pivot or freeze features.
- Execution risk: outages, API changes, and exchange downtime hit bots harder than patient humans.
Rules that limit the damage
Only deploy capital you can lose entirely. Paper trade before live. Size positions so the worst documented drawdown does not force your hand. Never route deposits to any platform that holds funds for you unless it is a licensed exchange you chose independently. See API key security before connecting anything.