Sam Bankman-Fried’s Alameda Research has invested $3 million in trading platform 3Commas.
“We had offers from other bigger names in the space as well,” founder and CEO Yuriy Sorokin told CoinDesk in an interview, “but I love Sam because he talks straight to the point compared to these other Western negotiators.”
Sorokin’s platform launched three years ago out of Tallinn, Estonia, to bring a simple crypto investing and trading experience for retail users. Sorokin said the lack of understanding and access to professional trading tools for retail investors is an even bigger problem today as crypto is trending toward greater adoption.
“That’s why we chose Alameda to be our [sole] investor,” said Sorokin. “They were the first who tried to bring social trading or third-party trading tools directly to the exchanges.”
Bankman-Fried, founder and CEO of Alameda Research and FTX Exchange, said in a press release, “We are perfectly aligned in our mission to increase crypto adoption and offer an amazing experience utilizing 3Commas technology.”
The platform currently has 100,000 active traders, according to Sorokin.
In the past year, 3Commas has launched a number of bots that enable users to select from a series of pre-determined trading strategies, leave their assets on autopilot and get notified when a trade is completed.
“Trading crypto is hard,” said Victor Cucos, 3Commas’ chief strategy officer. “Newcomers with FOMO will jump into the space with no idea how to manage any sort of assets.”
Upcoming initiatives from the company include building 3Commas Academy, an online education program for new users to learn the basics of trading and risk management, the firm said. It also plans to expand with localized services in Asia and South America to grow its community in other languages.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.