Hyperdex — How Investment Cubes Work
Investment cubes are simplified investment strategies offered by Hyperdex.
Each one has its own procedure, however, they all work similarly to each other with small key differences.
1. Choosing a cube
First, the user must choose which type of investment cube they want to invest in. There are numerous types of investment cubes each with a different risk level, therefore users may select the one that fits them best.
Parameters include the asset deposited, expiration date, amount, and more depending on the cube type.
2. Depositing assets
Once the user selects a cube type, they must deposit the quoted asset into the cube.
After doing so, the investment’s return will be available based on the unlock / expiration date.
Users may unlock their cubes earlier, however an early unlock fee is applied.
Once deposited, Hyperdex does the rest.
Depending on the cube invested in, different things will be going on behind the scenes.
Whether it’s an algo trading cube managing statistical arbitrage trading algorithms or a race trading cube managing a user’s position, the user doesn’t need to do anything except wait.
4. Receiving profit when / if due
Upon expiration, the user is able to redeem the return generated by the investment cube.
In the case of fixed income cubes, this is a predefined fixed return.
For algo trading cubes, this return is variable.
As for race trading cubes, being the riskiest option in exchange for amplified returns, this can result in the user’s entire deposit being lost.
Hyperdex investment cubes can be extremely useful for a wide range of investors seeking quick, easy, simplified solutions.
However, it’s important to read the documentation for all cubes, as there are similarities yet different key components.