Trading, Fundamentals, and Balaji’s Bet

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(00:00:32) - (First question) - Exploring how high-frequency traders (HFTs) have generated profits in recent years

(00:02:50) - The utilization of technology to forecast the movement of asset classes

(00:04:24) - Why he focuses on prediction over speed in trading strategies

(00:05:36) - Methods for evaluating the effectiveness of a trading strategy

(00:06:42) - The aggressive tactics that HFT firms employ to protect their advantages

(00:09:27) - How COVID-19 changed the landscape of news trading

(00:11:13) - The importance of talent and finding niches in HFT

(00:12:37) - His decision to pursue an entrepreneurial path and establish Selini Capital

(00:13:47) - How culture and incentives in the HFT industry impacted the genesis of Selini

(00:20:17) - Finding an edge as a smaller team against giants with more resources

(00:21:30) - Why he and his team started to transition to crypto

(00:24:41) - His perception of other trading firms as Selini moved into the crypto space

(00:27:17) - A breakdown of how the team at Selini Capital is structured  

(00:29:40) - Why Selini avoids taking outside capital from LPs 

(00:30:29) - How Selini operates in both the crypto and fixed-income asset classes  

(00:31:11) - Why his non-technical background positions him to approach the market differently

(00:36:09) - Using the dog and the fox parable to describe his view of crypto in the long term   

(00:38:06) - The roles human psychology and survival strategies play in the crypto landscape

(00:40:25) - Drawing comparisons between financial markets and gambling

(00:43:11) - Advice on what exposure newcomers should have in the crypto space

(00:45:07) - His thoughts on Balaji’s outlook on Bitcoin

(00:47:43) - Creating new money in a way that is globally accepted and fair for everyone

(00:50:04) - His thoughts on crypto regulation and international adoption abroad

(00:54:32) - What he’s most excited to build over the next six months and six years