Recently, there has indeed been a lot of discussion about low-capital trading, with social media flooded with various voices claiming "small capital, short-term doubling, monthly income exceeding ten thousand." These statements sound quite appealing at first glance.
But if we think about it calmly, 10U is only equivalent to around seventy to eighty yuan. With this amount of capital, even ordering takeout needs to be calculated for costs. Yet in the hands of some traders, it is touted as a killer tool that can leverage huge returns? This logic is indeed a bit absurd.
Some people might say, "Losing 10U is fine, just consider it a consumption once." This idea sounds light-hearted on the surface, but you have to consider the actual trading costs. The fees for high-frequency trading, slippage losses, and the lethal impact of 100x leverage—when the market only moves 0.5%, the position could directly get liquidated. Losing 10U today and adding 10U tomorrow, if this goes on repeatedly, the amount lost would have long exceeded a year's worth of snack money.
The quant AI track is currently at a pivotal moment; some are observing while others have already jumped in. Regardless, understanding the actual cost of risk is far more worthwhile than fixating on those enticing profit figures.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
Recently, there has indeed been a lot of discussion about low-capital trading, with social media flooded with various voices claiming "small capital, short-term doubling, monthly income exceeding ten thousand." These statements sound quite appealing at first glance.
But if we think about it calmly, 10U is only equivalent to around seventy to eighty yuan. With this amount of capital, even ordering takeout needs to be calculated for costs. Yet in the hands of some traders, it is touted as a killer tool that can leverage huge returns? This logic is indeed a bit absurd.
Some people might say, "Losing 10U is fine, just consider it a consumption once." This idea sounds light-hearted on the surface, but you have to consider the actual trading costs. The fees for high-frequency trading, slippage losses, and the lethal impact of 100x leverage—when the market only moves 0.5%, the position could directly get liquidated. Losing 10U today and adding 10U tomorrow, if this goes on repeatedly, the amount lost would have long exceeded a year's worth of snack money.
The quant AI track is currently at a pivotal moment; some are observing while others have already jumped in. Regardless, understanding the actual cost of risk is far more worthwhile than fixating on those enticing profit figures.