Risk Management

Bálkar has developed self-learning Neural Network trading strategy, a form of Artificial Intelligence software, with the goal of maximizing returns and minimizing the risk of BTC / USD trading.

The algorithm is a machine learning algorithm which trades the BTC / USD pair automaticaly.

Bálkar offers Risk Management and Remote trading of Bitcoin – BTC, where the AI automatically buys and sells or short sells BTC on behalf of the customers.

The top chart shows the price of Bitcoin BTC in USD, colored in blue and read where the Risk Management is buying and selling. The lower chart shows the cumulative returns of Bitcoin BTC and he Risk Management service, colored blue or red depending on buying or selling.

This chart shows annual returns of Bitcoin BTC and the Risk Management service colored in blue and red depending on when it is buying or selling.

The Sharp Ratio for each year based on hourly ticks. The Sharp ratio shows returns minus risk free rate divided by the standard deviation of the returns.

The annual returns of Bitcoin BTC compared to the returns of the Risk Management service.

Risk Adjusted Returns of the Risk Management service show the adjusted returns compared to the underlying risk of the Bitcoin BTC market.

Customers of Bálkar Miðlun have two options in regards to how the portfolio is safeguarded and traded.

  • Bálkar Miðlun handles all trades on behalf of its customers on its own accounts. The customer gets notification of each trade and a monthly update showing each trade and the performance of the Risk Management, sign up here.
  • The customer creates an account on an exchange, which Bálkar trades on, shares the so-called API key and API secret to their account with Bálkar Miðlun for trading. This way the customer has full control and over its assets and has full overview of each trade and the performance of the Risk Management service, sign up here.

Customers have full control over their account and have an overview of all the transactions that take place on the exchange and can monitor their position in real time.

Bálkar Miðlun operates Bitcoin Risk Management and Remote trading on two markets. Bitstamp which is an exchange for Bitcoin where you can buy and sell Bitcoin. Bitstamp is a regulated entity in Luxembourg and is one of the oldest exchanges for Bitcoin. The other market is Bitmex, which is a derivative market where it is possible to buy and sell Bitcoin forwards with a leverage. This market offers its users leverage, i.e. to trade with borrowed funds and to short sell Bitcoin, i.e. profit from declining price. Bitmex is not a regulated entity and is incorporated in Hong Kong.

If you are interested in having your BTC – Bitcoin traded for you there are two options.

  • You register with Bálkar for Risk Management and Remote trading where we handle everything on our account on your behalf.
  • You register with an exchange we recommend, you create API access and share it with Bálkar Miðlun. The funds are traded on your account where you have full overview of all trades and your position.

Email: balkar@balkar.is

Tel: +354 620 3700