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What Is the Structured Arbitrage Tool?

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Written by 100X
Updated this week

The Structured Arbitrage Tool is the third-generation smart wealth product in the 100X Finance ecosystem,
developed as an upgrade following Discount Buy and the pUSD Arbitrage Tool.

By combining discount spot buying, options hedging, and professional trading team arbitrage,
this product helps users achieve long-term, sustainable returns while effectively managing risk.

It is designed for users seeking long-term investment, reduced volatility exposure, and automated capital growth.


1. Core Logic of Structured Arbitrage

Structured Arbitrage =
Automated Arbitrage Strategy + Futures Trading + Options Hedging + Professional Management

Once funds are invested, the system automatically executes:

  • Partial capital allocation to options hedging to reduce downside risk

  • Core funds managed by a professional trading team for arbitrage execution

  • Automatic transition to futures trading once preset conditions are met

  • Support for manual termination or continuous automated execution

No market monitoring is required, and all profits and risks are fully transparent.


2. Capital Allocation Structure

After subscription, funds are allocated as follows:

  • 90% of funds
    Used for arbitrage strategies managed by professional traders

  • 10% of funds
    Used to purchase put options for risk hedging
    Additionally, the system grants an equal amount of pUSD as extra arbitrage capital

This structure enhances risk protection while increasing arbitrage potential.


3. Profit Mechanism

1️⃣ Arbitrage Phase

When arbitrage returns reach 12%:

  • The system completes the current arbitrage cycle

  • Realized profits proceed to the next phase

2️⃣ Futures Phase

Profits are then allocated to futures trading for additional gains.

Futures profit distribution:

  • 50% to users

  • 25% to the trading team

  • 25% to the reward pool for future user incentives

The platform does not participate in profit sharing and only provides system and risk control support.


4. Participation Options

Option 1: Manual Termination

Users may terminate the product at any time.

Settlement includes:

  • Initial principal

  • Actual options PnL

  • 50% of futures trading profits allocated to the user

No further cycles will be initiated after settlement.


Option 2: Continuous Execution

If not terminated:

  • The system automatically continues into the next arbitrage cycle

  • Arbitrage, hedging, and futures strategies run continuously

Final returns include:

  • Initial principal

  • Cumulative options PnL

  • 50% of all futures trading profits


5. Order Status Overview

Structured Arbitrage orders have five statuses:

  • Subscribing

  • Running

  • Pending Settlement

  • Settling

  • Settled

Orders can be cancelled before funds are consolidated, with assets returned to the finance account.
Running orders may be terminated, with settlement completed after the current cycle ends.


6. pUSD Reward Rules

pUSD rewards are granted based on arbitrage cycles:

Formula:
pUSD Reward = Subscription Amount × 10% × Number of Arbitrage Cycles

Each completed cycle increases the count by one.


7. Suitable Users

This product is suitable for users who:

  • Prefer long-term strategies without frequent trading

  • Value risk hedging and structured strategies

  • Want automated capital growth

  • Trust professional trading team management


8. Summary

Structured Arbitrage is not short-term speculation.
It is a risk-controlled, long-term-oriented smart investment solution.

Users invest capital —
the system and professional team handle the rest.

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