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Trading Strategies

A wide range of automated trading strategies can be executed on Carbon Defi. Trading strategies are fully on-chain and non custodial, require no code to deploy, and can be performed with any standard ERC20 token.
Here we'll cover a few example trading strategies, including:
  1. 1.
    Limit Order
  2. 2.
    Range Order (“scale in” or “scale out”)
  3. 3.
    Recurring (“buy low, sell high” repeatedly - similar to grid trading)
  4. 4.
    Pegged-Asset Arbitrage

1. Limit Order

A limit order is a one-time buy order or sell order that executes at a specific price. Use limit orders to set your precise entry and exit points.
e.g., Buy ETH at $1500

2. Range Order (“scale in” or “scale out”)

A range order is a single disposable buy or sell order within a custom price range. No need to time the market or create multiple orders within two desired price points. Whether partially or fully filled, trades are irreversible, and you no longer need to worry about an order being undone should the market retrace.
e.g., Buy ETH $1800–1900

3. Recurring Strategies (“buy low, sell high”)

Recurring strategies allow you to create buy and sell orders (limit or range) that are linked together. Tokens acquired in a buy order instantaneously fund the linked sell order and vice versa, creating an endless trading cycle without need for manual intervention. Compound profits with a custom trading strategy designed to run continuously.
e.g., Repeatedly buy ETH $1800–1900 and sell ETH $2100–2200, until you close or adjust the strategy.
4. Pegged-Asset Arbitrage
Take advantage of de-pegs between pegged assets.
e.g., ETH/rETH strategy that auto-buys ETH when it de-pegs below the price of rETH, and auto-sells ETH when it re-pegs to the price of rETH.
Or, a DAI/USDC strategy that buys and sells DAI when it de-pegs and re-pegs.

📊 Track live Carbon DeFi strategies & ROIs on the Carbon DeFi Dune Dashboard​

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Last modified 6d ago