In 2018, a quantitative player named Lao Han, who considered himself logically rigorous, took an interest in a project that claimed to have a 'top-notch trading robot.' The team claimed that the AI algorithm could automatically capture market sentiment and execute precise buy and sell transactions, showcasing an impressive historical backtest curve that was almost entirely upward. After some research, he thought, 'Although it's exaggerated, it's technically not impossible,' so he decided to invest a little to test the waters.
The robot indeed traded automatically, and the returns seemed to be steadily increasing. Lao Han became more and more reassured, even developing the illusion that this was not a scam, but rather he had finally encountered a true 'quantitative miracle.' Thus, he began to increase his investment, eventually putting most of his liquid funds into the robot's account.
Until one day, when the market fluctuated violently, the robot suddenly made reckless high-level purchases and faced continuous liquidation, leaving the account balance almost empty. It was then that he realized: the so-called AI was merely a simple script for chasing highs and cutting losses, with absolutely no risk control; the previously 'stable curves' were just a pre-recorded demonstration interface by the project team.
That day, Lao Han truly understood:
The more sophisticated the technical packaging, the easier it is for people to set aside their doubts.
The warning this experience gives to future participants is simply this:
Do not blindly trust 'black technology,' 'algorithms,' or 'AI miracles'; true risk control always comes from humans, not from programs you cannot comprehend.
