Nautilus Trader or Freqtrade?

The choice between Nautilus Trader and Freqtrade for trading depends on your goals, skill level and functionality requirements

1. Nautilus Trader

• Suitable for professionals: Nautilus Trader is a powerful framework focused on high-frequency trading (HFT), making it more suitable for traders and firms that engage in algorithmic trading at a professional level
• Power and flexibility: Supports high-speed connections to exchanges, implementation of complex algorithms, risk management, and infrastructure for trading on millisecond timeframes
• Deep integration with exchanges: Can offer deep customization and interaction with exchanges at the API level
• Cons: Very high complexity for beginners, no out-of-the-box support for most retail trading tasks

2. Freqtrade

• Suitable for retail traders: Freqtrade is a free and open source algorithmic trading bot for cryptocurrency exchanges, it is easier to use than Nautilus Trader and has an active community
• Ease of use: Ideal for those who want to start automating trading without having deep knowledge of programming, supports a large number of ready-made strategies
• Adaptability to different exchanges: Supports different exchanges and easily integrates with them via API
• Cons: Suitable for less intensive trading, may be less optimized for high-speed and complex operations

Choice:

• If you are a beginner or intermediate trader who wants to automate cryptocurrency trading processes, Freqtrade will be the best choice
• If you are a professional trader or plan to trade large volumes with a high level of optimization and execution speed, Nautilus Trader offers more features, although it requires significant skills to set up

What other similar bots are there?

Aside from Nautilus Trader and Freqtrade, there are several other popular trading bots and algorithmic trading frameworks. Here are some of them:

1. Hummingbot

• Open Source: Hummingbot is a popular open source crypto trading bot that supports arbitrage, market making, and other strategies
• Features: It supports integration with various exchanges and marketplaces, making it a flexible tool for working with both cryptocurrencies and traditional financial assets
• Cons: Standard strategies may require customization, and it is not optimized for high-frequency trading (HFT)

2. Zenbot

• Open Source: Zenbot is a high-frequency cryptocurrency trading bot written in Node.js that supports automated trading on multiple exchanges
• Features: Has support for multiple exchanges and settings for more aggressive trading strategies
• Cons: Zenbot is known for its high risk and is not always stable in real markets. It often needs to be improved

3. Gekko

• Open source: Gekko is a popular cryptocurrency trading bot that has a simple setup and user interface
• Features: Supports backtesting, charts, data analysis, and has plugins for working with exchanges
• Cons: No longer actively supported. Strategies may be limited in functionality

4. 3Commas

• GUI platform: 3Commas is a cloud service that allows you to easily set up and manage trading bots via a web interface
• Features: Supports multiple exchanges, arbitrage and risk management strategies, has a trailing stop system and the ability to copy other traders strategies
• Cons: Paid, although a trial version is available

5. TradeSanta

• Cloud service: TradeSanta is a service for automated cryptocurrency trading that allows you to quickly set up a bot and choose from preset strategies
• Features: Simple and user-friendly interface, aimed at beginners and intermediate traders, supports various strategies such as grid or DCA
• Cons: Paid and has limited functionality for more experienced traders

6. Catalyst (Enigma)

• Quantum Trading Framework: Catalyst is a cryptocurrency quantum trading framework built in Python that supports multiple exchanges
• Features: Catalyst is focused on research and development of algorithms for complex strategies, supports backtesting and live trading
• Cons: Difficult to set up for beginners, requires serious knowledge of Python and algorithmic trading

7. Kryll.io

• Cloud platform: Kryll.io offers a convenient visual interface for creating trading strategies without programming skills, supports cryptocurrency exchanges and allows you to create automatic algorithms
• Features: Ability to build strategies using blocks in the visual editor
• Cons: The platform is paid and has limited functionality for advanced users

8. Superalgos

• Open Source: Superalgos is a powerful algorithm development platform with support for machine learning, data analytics and scaling
• Features: Provides tools for in-depth market analysis and development of complex strategies with the ability to connect various exchanges
• Cons: Requires a high level of programming and configuration skills

The choice depends on:

• Your experience (do you need a simple interface or a powerful developer tool)
• The strategies you plan to use (arbitrage, market making, HFT, DCA, etc.)
• The exchanges you want to work with
• Budget (some platforms are free, others require a subscription)

The best open source self-hosted bot for the Binance exchange

For trading on the Binance exchange using a free and self-hosted open source bot, one of the best options is Freqtrade and here’s why:

1. Freqtrade

• Open Source: This is a completely free bot that is supported by a community of developers and traders
• Binance Support: Freqtrade integrates well with the Binance exchange, supporting API operation, including all major order types
• Powerful functionality:
  • Supports DCA (Averaging), Grid, Arbitration and many others
  • It is possible to set up complex trading strategies in Python and connect custom indicators
• Backtesting: One of the greatest strengths of Freqtrade is the ability to conduct detailed backtesting of strategies on historical data, which allows you to test the strategy before launching it in real trading
• Multiple Strategies Support: Freqtrade supports the ability to use multiple strategies in one account, giving you more flexibility
• Active community: Thanks to a large number of users, you can always find ready-made strategies or get help through the forums or GitHub
• Documentation: Freqtrade has rich functionality and excellent documentation, which is important for beginners, the bot is quite easy to install and configure

Alternatives:

If for some reason Freqtrade is not an option, consider the following free and open source options:

1. 1. Zenbot:
      • Supported by Binance
      • High-frequency trading and the ability to work with multiple exchanges simultaneously
      • Needs improvement, since the project is not always stable in real markets
   2. Hummingbot:
      • Initially designed for arbitrage and market making
      • Supports Binance and other exchanges, has many built-in strategies
      • More suitable for arbitrage and market making strategies

Recommendation:

If you are looking for a simple, reliable, open source, self-hosted bot for trading on Binance, Freqtrade is your best choice for its combination of functionality, ease of use, and community support

What is the usage percentage of popular bots?

To create a chart that would reflect the percentage of usage of popular trading bots, we need to take into account several factors, such as data sources, trader surveys, popularity of projects on GitHub, as well as community activity and frequency of media mentions

Unfortunately, there are usually no exact official statistics for each bot, since these data depend on private use, and such companies rarely publish detailed reports, but nevertheless, an approximate distribution can be assumed based on indirect factors:

1. Freqtrade: Popular among traders who actively use custom strategies and automation of cryptocurrency trading, one of the leaders among open source bots
2. 3Commas: A paid platform with a large number of users thanks to its simplicity and powerful interface, popular among beginners and intermediate traders
3. Hummingbot: Popular among arbitrage traders and those who use market making, it is also a free and open-source bot
4. Zenbot: Less stable, but still used for high frequency trading
5. Gekko: Despite the end of active support, Gekko remains popular among beginners due to its simplicity
6. TradeSanta: Paid platform often used by retail traders due to its simplicity and ready-made strategies

Percentage of popular bots used (approximate data):

The pie chart shows the approximate distribution of the use of popular trading bots based on popularity ratings in the cryptocurrency community and project activity:

• Freqtrade — 25%
• 3Commas — 30%
• Hummingbot — 20%
• Zenbot — 10%
• Gekko — 5%
• TradeSanta — 10%

These data are approximate and may vary depending on the audience and specific use