Punk Trader Ltd

Automatic Crypto Trading for the Masses

Punk Trader LTD (publ.) is an electronic trading software company in the digital assets sphere focusing on implementing profitable automated algorithmic trading strategies into the platform. The company focuses on retail traders and investors that want to have professionals running their trading securely and market neutral in the developing digital asset class. Over three years, the team behind Punk Trader has built and tested a suite of trading algorithms that have matured to breaking market returns, keeping low to reasonable risks while trading on the most potent exchanges for derivatives for digital assets. The Company put transparency first, and it's reflected in the scientific/empirical approach to developing trading strategies that interact with our automated trading platform. Users choose among tailor-sewn strategies that are aligned with the user's investment objective and risk appetite.

Investor proposal

Punk Trader AB (publ.) has decided to do an IPO as a fundraising mechanism - to be able to continuously stay at the forefront of algorithmic crypto high-frequency trading development. In an increasingly competitive market, we are building a state of the art consumer phasing online trading platform.

Become a partner in the most exciting company in the Blockchain community. Combining extra-ordinary and fully automated profitably crypto trading, with a member's driven blockchain investment platform to create a unique trading ecosystem.

A liquid investment. The transaction will be made through a reverse takeover of a public company. All agreements have been signed, and the target company will change its name to Punk Trader AB (publ.).

Please contact us for more details: Info@punktrader.com

Product

During 2020, the company has finalized the deployment of its high-frequency trading algorithms and integrated them into its consumer-facing platform. The company has invested significant resources in the development of them to establish a solid position in a fast-growing market.
The next step is to do a full-scale commercialization of Punk Trader AB (publ.) and continue the development of the software to keep a position in front of a highly technological industry. The funding from the listing will be invested in the further development of the platform, and financing of international expansion through increased sales and marketing activities for the company.

2020 - Complete
Fully automated High-frequency Trading integration
100% Beta Tested System
Stable Reporting Feature
Mobile Friendly, Clean UI/U
Secure Wallet System
Affiliate system

2021 - Completed
Adding Altcoin trading via Binance
Adding Huboi and Bybit
Full Integration of users communication
Virtual IBAN Integration
Virtual & Real Debit Cards Issue

Q4 2021 - Q2 2022 In the pipeline
Applying Artificial Intelligence in support, trading, auditing and assistance
Reverse take over and listing on Dusseldorf Stockh Exchange
Extended fintech ecosystem with various commissionable financial products inside for the network
More trading products and algorithms
Setting up a privately held crypto fund via Swiss subsidiary in Zug

Asset Type / Token

Token

Asset Name

TRAD

Legal Name

Punk Trader LTD

Address

71-75 Shelton Street
London
Greater London
WC2H 9JQ
United Kingdom

Primary Trading Venue

2021-11-01

ISIN Number

12812143

Team

Management Mathias Lindmark

Market

There are several ways to scope the market size and potential. The cryptocurrency market itself has a market cap of around US$ 2.70 Trillion (November 2021), growing enormously in the last decade (coinmarketcap.com).

On the one hand, we should mention the vast number of active crypto traders, about 52 million (chapuisholder.com June 2019). On the other hand, we are targeting investors (not only traders) in crypto to people that do not necessarily want to trade themselves actively but understand the value of professional strategies in trading.

The global online trading platform space

In a broader sense, we are in the fintech space. Narrowing it down, we will compete with global online trading platforms, and in this space, there are giants like Interactive Brokers and TD Ameritrade. The first-mentioned is a U.S.-based brokerage firm that operates the largest platform in the U.S. by the number of average daily trades. The company brokers stocks, options, forex, and bonds, to name a few. The market cap is a whopping US$ 21,6 billion.

Social trading company eToro has a US$ 800 million market cap and 13 million users (mid-2020). The company eToro is well known for its "copy-trading," where investors can follow top traders in the platform. Interestingly, in 2018 eToro made a strategic move into cryptocurrency markets, enabling a significant increase in its user base. In 2020, eToro began introducing commission-free trading, through eToro's platform users can replicate other traders' financial trading activity or manually trade stocks, cryptocurrencies, and ETFs, among other assets.

At the beginning of 2020, Morgan Stanley's US$13 billion deal to buy E-Trade, an online brokerage, and digital bank, which has about 7 million customers. It continues a trend among prominent Wall Street firms to cater to consumers with smaller accounts, and Morgan Stanley effectively paid nearly US$2000 per customer.

Crypto hedge fund market is growing rapidly.
The growing crypto hedge fund market gives a good insight into our approachable market and the interest investors show. Estimates made by PWC in Q1 2020, show that the total AuM (Assets under Management) of crypto hedge funds globally increased to over US$2 billion in 2019 from US$1 billion the previous year. The percentage of crypto hedge funds with an AuM of over US$20 million, increased in 2019 from 19% to 35%. It clearly shows an increase in investing in crypto.

Execution

During 2020, the company has finalized the deployment of its high-frequency trading algorithms and integrated them into its consumer-facing platform. The company has invested significant resources in the development of them to establish a solid position in a fast-growing market.
The next step is to do a full-scale commercialization of Punk Trader AB (publ.) and continue the development of the software to keep a position in front of a highly technological industry. The funding from the listing will be invested in the further development of the platform, and financing of international expansion through increased sales and marketing activities for the company.

2020 - Complete
Fully automated High-frequency Trading integration
100% Beta Tested System
Stable Reporting Feature
Mobile Friendly, Clean UI/U
Secure Wallet System
Affiliate system

2021 - Completed
Adding Altcoin trading via Binance
Adding Huboi and Bybit
Full Integration of users communication
Virtual IBAN Integration
Virtual & Real Debit Cards Issue

Q4 2021 - Q2 2022 In the pipeline
Applying Artificial Intelligence in support, trading, auditing and assistance
Reverse take over and listing on Dusseldorf Stockh Exchange
Extended fintech ecosystem with various commissionable financial products inside for the network
More trading products and algorithms
Setting up a privately held crypto fund via Swiss subsidiary in Zug

Return on Investment

Retun on investment is highly dependent on the success of the company. With a 30 % discount on the initial listing price, plus the scope of the market and benchmark against competing platforms, there is real potential in project.

Risk Analysis

Risk factors for the Company's operations as the Board identified as most relevant to the Company's operations and how the Company manages the risk. An investment in securities is associated with risk. Before a possible investment decision, it is essential to carefully analyse the risk factors that are considered to be of importance for the Company's and the share's future development. These risks include, among other things, the following primary industry and business risks. Possible risks include: .

Limited resources
The company is small with limited resources in terms of ma­nagement, administration and capital. There is a risk that the company's resources will not suffice and that the company will thus suffer financially as well as operationally related problems. .

Dependent on key people
The business is dependent on the ability to recruit, develop and retain qualified employees. If key employees leave or cannot be hired by the company, this can have a negative impact on the business, earning capacity and capital requi­rements. .

Sales risk
There is a risk that the business concept that the company sells will not have an impact on the market as predicted in this memorandum. .

Competition
The company operates in a competitive market. There will always be a risk that increased competition from market participants can lead to reduced growth opportunities or that the company's operations in other ways will be adversely affected. Competition, regulatory requirements and the economic situation may mean that the products' profitability develops worse than what the Board of directors today has reason to expect. .

Influential main owners
After a fully subscribed issue, the two principal owners still own approximately 18% each of the shares, which may mean that new shareholders after the issue may have limited influence on decisions at the general meeting.

Any license requirement.
The company is in the process of investigating any license requirements for deploying the platform. In the event that it turns out that the business is subject to a permit, it will be resolved through already initiated collaborations with finan­cial institutions or through their own registration. Current and potential investors should consider that an investment in the Company is associated with risk and that it cannot be predicted whether the share price will have a positive development. This entails a risk that an investor may lose all or part of his invested capital.

Address

71-75 Shelton Street
London
Greater London
WC2H 9JQ
United Kingdom