(Soon) Know Your Trader (KYT)
xFractal’s Know Your Trader (KYT) framework is a user-centric evaluation system designed to provide hyper-personalized trading intelligence. Unlike traditional platforms that rely on one-size-fits-all strategies, KYT leverages AI-driven evaluation agents to understand each trader’s unique methodology, preferences, and decision-making processes.
By integrating real-time user profiling, on-chain analytics, and off-chain behavioral insights, KYT enables xFractal to dynamically adapt to individual users, ensuring that every trade, recommendation, and market alert aligns with the trader’s strategy, risk appetite, and priorities.
Core Functionality
AI-Driven User Evaluation
Upon onboarding, xFractal deploys an evaluator agent that engages the user in a structured conversation. Note that this is optional and at the user’s discretion. It extracts insights on:
Asset Focus
Token types (memecoins, DeFi, NFTs, staking tokens), FDV vs. MC preference, on-chain vs. CEX trading
Early-Stage Discovery
Alpha sources (Twitter, Telegram, private groups), launchpad participation, sniping strategies
Position Sizing
% of portfolio per trade, Kelly Criterion use, scaling in/out strategies
Ultimate Trading Goals
Scalability, ecosystem contribution, community building, passive income vs. active trading
Trade Duration
Holding duration, frequency of flipping, conviction in ecosystem plays
Portfolio Allocation
% in Solana vs. Ethereum/BTC/other chains, ratio of stablecoins, hedge strategy
Evaluation Criteria
Fundamental analysis metrics (market cap, revenue, tokenomics), technical analysis reliance, social sentiment factors
Profit-Taking & Loss Cutting
Risk-reward ratio, % of profit target vs. stop loss, use of trailing stops
Trading Strategies
Day trading, swing trading, scalping, HFT, arbitrage, trend following, mean reversion
Risk Tolerance
Maximum drawdown %, volatility preference (low, medium, high), leverage usage
FOMO
Emotional discipline, response to losses, adherence to plan under stress.
Social Trading & Influence
Key influencers followed, engagement in trading communities, copy trading usage, Kaito Yaps, Smart followers.
Psychological biases & fears
Historical behavior under market stress.
These insights create a detailed trading profile that allows xFractal to optimize its AI agents to each user’s unique behavior.
On-Chain Behavioral Analysis
KYT conducts real-time analysis of the user’s wallet(s) activity to identify:
Trade patterns – Frequency, volume, holding duration.
Risk exposure – Leverage usage, drawdown trends.
Profitability trends – Win/loss ratio, historical returns.
Whale interactions – Copy-trading, engagement with influencer wallets.
By continuously evaluating on-chain activity, KYT refines user profiles dynamically, allowing xFractal’s AI agents to learn and adapt as the user’s strategy evolves.
Off-Chain Sentiment & Social Insights
KYT extends beyond trading behavior by analyzing the user’s off-chain digital footprint from Twitter.
Interest mapping – Topics of engagement, preferred influencers, thought leaders followed.
Sentiment correlation – Positive/negative reaction patterns to market news.
Network influence – User’s role in communities, engagement levels in DeFi discussions.
This data allows xFractal to align AI-driven insights with the user’s broader market perspective, ensuring intelligent filtering of information, alerts, and actionable signals.
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