Phyrex
Phyrex|Oct 27, 2026 12:25
Because I've been looking at AI-related content lately, I came across an AI trading security manual compiled by @MEXC and cybersecurity company Hacken. This is something I wanted to discuss with everyone. Although I've been using AI for assisted trading, I haven't entrusted my wallet to it. Even when calling the API, I'm extremely cautious, mainly because the exposure risk through AI is too high. Some people have suggested turning off AI permissions or disabling API withdrawal permissions to ensure security. From a theft perspective, that's barely acceptable, but since trading is involved, and trading allows for wash trading, and even without wash trading, there are many ways to lose user assets. For example, after AI is integrated into an exchange, it might be misled by incorrect information into buying a poorly liquid token at a price far above the market price, just as an attacker places a sell order. The token might still be in its account, but the purchase price could be much higher than the selling price. AI making incorrect judgments, repeatedly placing orders, or opening excessively leveraged positions can also lead to losses. Not to mention the Ponzi schemes I've fallen for myself, so from my personal perspective, AI is currently insufficient for 100% automated trading, and I've also heard of AI trading programs specifically designed for AI trading. Furthermore, a survey of 3,708 crypto traders by MEXC reveals many concerns. 84.8% of respondents had used AI for research or trading in the past six months, but only 6.5% were willing to put more than half of their funds in their AI trading accounts, given the inability to transfer or withdraw funds and the ability to stop trading at any time. After adding limits on funds, position size, leverage, and loss, the percentage willing to let AI trade automatically increased from 55% to 71.8%. AI can indeed save a lot of time in organizing news, analyzing data, and finding trading opportunities, but when real funds are involved, permissions and risk levels must be set beforehand. You can first let the AI provide analysis and trading suggestions, which you can then confirm. If you need automated execution, you can use a separate API, disable withdrawal and transfer permissions, place funds in a segregated sub-account, and then set the tradable currencies, single transaction amount, total position size, and loss limit. Another point is that simply telling the AI "each transaction cannot exceed a certain amount (e.g., $1,000)" does not guarantee that this limit will take effect. A more effective approach is to set up checks outside the AI, rejecting orders that exceed the limit. This is why I choose to have two or more AIs working simultaneously, allowing for cross-validation.
+6
Mentioned
Share To

Timeline

HotFlash

APP

X

Telegram

Facebook

Reddit

CopyLink

Hot Reads