What is Binance account for HEYBIT??
It is a Binance account that can be used only for the auto-trading purpose atHEYBIT. It is different from the account you create at binance.com website and can only be created within HEYBIT service.
How can a Binance account be created via HEYBIT?
It is because HEYBIT has become an official broker partner of Binance.com since Feb. 2020. Through the partnership, HEYBIT is delegated with the authority to create a Binance account on behalf of the user.
You are the sole owner of this Binance account. However, its sole purpose is for the auto-trading at HEYBIT. Therefore, you can check the asset status only via HEYBIT service screen. (You cannot check the account status by logging into your other Binance accounts.) Also, the deposit and withdrawal of the asset is possible only via HEYBIT and you cannot directly buy or sell the assets with or create API keys for the account. This is to ensure the payment of the performance fee while preventing the user from meddling with our auto-trading algorithm.
Why does HEYBIT use this type of account?
You may wonder why HEYBIT uses this particular type of account which has a few limitations. The answer is to prevent the exposure and the malfunction of our trading strategy.
1) Exposure of strategy
With a normal Binance account, you can check the transaction records on real-time basis and can create API keys for other programs. If this is allowed for HEYBIT, then there are third parties who take advantage of our algorithm and start copy trading. It can seriously compromise the alpha, resulting in less profit for you and your fellow users. Therefore, in order to prevent the exposure of our investing recipe, it was inevitable to create a HEYBIT-customized account.
2) Malfunction of algorithm
With a normal Binance account, you can directly buy and sell assets aside from HEYBIT's auto-trading. If this happens, it can meddle with the positions by HEYBIT and can result in the poor performance of the algorithm. Therefore, to ensure the optimal execution of our trading strategy, we have decided to use the customized account in partnership with Binance.