Gridix Docs
  • Abstract
  • Mission
  • Market Overview
    • Limitations of Centralized Grid Trading
    • Potential of On-Chain Concentrated Liquidity
    • Feasibility Enabled by Layer 2 Solutions
  • Protocol Overview
    • Introducing Gridix
    • Range Mode
    • Limit Mode
  • Key Features
    • Automated Buy-Low, Sell-High
    • AI-Driven Optimization
    • Dual Strategy Options
    • Maximized Capital Efficiency
    • True Decentralization
  • Resources
    • FAQ
    • Community
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On this page
  • 1. What is Gridix?
  • 2. What and why is grid trading?
  • 3. Why choose Gridix for grid trading?
  • 4. What is the difference between Range Mode and Limit Mode?
  • 5. How many trading pairs does Gridix support?
  • 6. Is Gridix suitable for DeFi beginners?
  1. Resources

FAQ

1. What is Gridix?

Gridix is the world's first AI-driven on-chain grid trading protocol designed specifically for DeFi trading. It combines grid trading strategies with concentrated liquidity management to create an automated trading solution that works entirely on-chain. Gridix enables both professional liquidity managers and novice traders to capture profits from market fluctuations without manual intervention, while simultaneously earning additional revenue through trading fees or lending protocols.

2. What and why is grid trading?

Grid trading is a systematic trading strategy that places a series of buy and sell orders at predetermined price intervals, creating a grid-like pattern. This approach aims to profit from normal market price oscillations without requiring the trader to predict market direction.

The primary benefits of grid trading include:

  • Profiting from volatility in both rising and falling markets

  • Removing emotional decision-making from the trading process

  • Automating the "buy low, sell high" principle

  • Generating consistent returns in sideways or ranging markets where other strategies may struggle

Grid trading is particularly well-suited for cryptocurrency markets due to their inherent volatility and 24/7 trading environment.

3. Why choose Gridix for grid trading?

Gridix offers several significant advantages over traditional centralized exchange grid trading:

  • Access to More Trading Pairs: Gridix provides access to a wider range of trading pairs, including emerging assets with high volatility potential.

  • Earn Instead of Pay: Unlike centralized exchanges that charge trading fees, Gridix allows users to earn trading fees in Range Mode.

  • Maximized Capital Efficiency: Idle funds can earn interest through lending protocols in Limit Mode, while active funds capture price volatility and/or trading fees.

  • Full Control of Funds: As a decentralized protocol, Gridix gives users complete control over their assets.

  • AI-Driven Optimization: Advanced algorithms recommend optimal parameters and adjust strategies in real-time based on market conditions.

  • Low Transaction Costs: By leveraging Layer 2 solutions, Gridix keeps gas fees minimal, making strategy execution economically viable.

4. What is the difference between Range Mode and Limit Mode?

Range Mode:

  • Combines grid trading with concentrated liquidity management

  • Divides a large price range into smaller sub-ranges

  • Users earn continuous DEX trading fees while their liquidity is active

  • Automatically adjusts liquidity positions as prices move through the grid

  • Ideal for high-volume, less volatile trading pairs

  • Effectively executes a buy-low, sell-high strategy while earning trading fees

Limit Mode:

  • Functions similarly to limit grid trading on centralized exchanges

  • Buy and sell operations trigger when price fluctuations reach a set span

  • Idle funds can be deployed to lending protocols like AAVE to earn interest

  • More suitable for highly volatile assets like meme coins

  • Offers better trading efficiency for capturing significant price swings

  • Dynamically allocates capital rather than leaving it in static limit orders

5. How many trading pairs does Gridix support?

Gridix is designed to support a wide range of trading pairs available on decentralized exchanges. Unlike centralized exchanges that often limit grid trading to major pairs, Gridix can theoretically support any token pair with sufficient liquidity on the underlying DEX. This includes emerging assets, meme coins, and other high-volatility tokens that traditionally might not be supported by centralized grid trading solutions. The specific number of trading pairs will grow over time as the protocol develops and expands to additional DEXs and blockchains.

6. Is Gridix suitable for DeFi beginners?

Yes, Gridix is designed to be accessible for both experienced traders and DeFi beginners. The protocol automates complex trading strategies that would typically require significant expertise, making them available to anyone regardless of their trading experience. The AI-driven parameter recommendations help novice users configure optimal settings without needing deep market knowledge.

Key beginner-friendly features include:

  • Simple user interface for setting up grid parameters

  • Automated strategy execution without need for constant monitoring

  • AI assistance in selecting appropriate settings

  • No requirement to predict market direction

  • Option to start with smaller amounts and scale up with experience

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Last updated 2 months ago