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When asked to explain their decisions, LLMs can often give explanations which sound plausible to humans. But are these explanations faithful, i.e. do they convey the factors actually responsible for the decision? In this work, we analyse…

Computation and Language · Computer Science 2025-10-06 Noah Y. Siegel , Nicolas Heess , Maria Perez-Ortiz , Oana-Maria Camburu

We check the claims that data from Google Trends contain enough data to predict future financial index returns. We first discuss the many subtle (and less subtle) biases that may affect the backtest of a trading strategy, particularly when…

Statistical Finance · Quantitative Finance 2014-03-19 Damien Challet , Ahmed Bel Hadj Ayed

Rather than directly predicting future prices or returns, we follow a more recent trend in asset management and classify the state of a market based on labels. We use numerous standard labels and even construct our own ones. The labels rely…

Trading and Market Microstructure · Quantitative Finance 2020-12-08 Michal Balcerak , Thomas Schmelzer

Non-fungible tokens (NFTs) serve as a representative form of digital asset ownership and have attracted numerous investors, creators, and tech enthusiasts in recent years. However, related fraud activities, especially phishing scams, have…

Cryptography and Security · Computer Science 2025-12-02 Wenkai Li , Zongwei Li , Xiaoqi Li , Chunyi Zhang , Xiaoyan Zhang , Yuqing Zhang

Being archetypal complex systems, financial markets exhibit rich set of dynamics in their interactions. In this paper, we focus on the recently evolved cryptocurrency market as an example of a complex system and analyse the evolution of…

Statistical Finance · Quantitative Finance 2022-11-23 Vishwas Kukreti

In the rapidly evolving field of crypto assets, white papers are essential documents for investor guidance, and are now subject to unprecedented content requirements under the European Union's Markets in Crypto-Assets Regulation (MiCAR).…

Computers and Society · Computer Science 2023-10-26 Carolina Camassa

The study examines whether fama-french equity factors can effectively explain the idiosyncratic risk and return characteristics of Bitcoin. By incorporating Fama-french factors, the explanatory power of these factors on Bitcoin's excess…

Statistical Finance · Quantitative Finance 2024-07-02 Shubham Singh

Financial models do not merely analyse markets, but actively shape them. This effect, known as performativity, describes how financial theories and the subsequent actions based on them influence market processes, by creating self-fulfilling…

Trading and Market Microstructure · Quantitative Finance 2026-02-19 Charalampos Kleitsikas , Stefanos Leonardos , Carmine Ventre

In assessing argument strength, the notions of what makes a good argument are manifold. With the broader trend towards treating subjectivity as an asset and not a problem in NLP, new dimensions of argument quality are studied. Although…

Computation and Language · Computer Science 2025-07-24 Carlotta Quensel , Neele Falk , Gabriella Lapesa

This research mainly explores the characteristics of different strategies and whether VIX INDEX positively influences the investment portfolio in any period. Our portfolio has six significant cryptocurrencies, VIX INDEX and gold. We perform…

Portfolio Management · Quantitative Finance 2022-11-17 Jiahao Cui , Qiushi Li , Yuezhi Pen

Recent trends in natural language processing research and annotation tasks affirm a paradigm shift from the traditional reliance on a single ground truth to a focus on individual perspectives, particularly in subjective tasks. In scenarios…

Computation and Language · Computer Science 2024-04-18 Olufunke O. Sarumi , Béla Neuendorf , Joan Plepi , Lucie Flek , Jörg Schlötterer , Charles Welch

This paper introduces new methods to study behaviours among the 52 largest cryptocurrencies between 01-01-2019 and 30-06-2021. First, we explore evolutionary correlation behaviours and apply a recently proposed turning point algorithm to…

Statistical Finance · Quantitative Finance 2022-11-15 Nick James , Max Menzies

This work is the first study on the effects of attacks on cryptocurrencies as expressed in the sentiments and emotions of social media users. Our goals are to design the methodologies for the study including data collection, conduct…

Social and Information Networks · Computer Science 2024-01-31 Zsofia Baruwa , Sanjay Bhattacherjee , Sahil Rey Chandnani , Zhen Zhu

In light of micro-scale inefficiencies induced by the high degree of fragmentation of the Bitcoin trading landscape, we utilize a granular data set comprised of orderbook and trades data from the most liquid Bitcoin markets, in order to…

Trading and Market Microstructure · Quantitative Finance 2021-08-24 Jakob Albers , Mihai Cucuringu , Sam Howison , Alexander Y. Shestopaloff

We investigate whether cryptocurrency markets differentiate between infrastructure failures and regulatory enforcement at the return level, complementing a companion conditional variance analysis that finds 5.7 times larger volatility…

Statistical Finance · Quantitative Finance 2026-02-17 Murad Farzulla

This article demonstrates the possibility of constructing indicators of critical and crisis phenomena in the volatile market of cryptocurrency. For this purpose, the methods of the theory of complex systems such as recurrent analysis of…

Statistical Finance · Quantitative Finance 2018-07-23 Vladimir Soloviev , Andrey Belinskiy

This paper presents a comprehensive statistical analysis of the Web3 ecosystem, comparing various Web3 tokens with traditional financial assets across multiple time scales. We examine probability distributions, tail behaviors, and other key…

Statistical Finance · Quantitative Finance 2024-12-09 Wei-Ru Chen , A. Christian Silva , Shen-Ning Tung

In this study, MLP models with dynamic structure are applied to factor models for asset pricing tasks. Concretely, the MLP pyramid model structure was employed on firm-characteristic-sorted portfolio factors for modelling the large-capital…

Pricing of Securities · Quantitative Finance 2025-05-07 Shanyan Lai

The review introduces the history of cryptocurrencies, offering a description of the blockchain technology behind them. Differences between cryptocurrencies and the exchanges on which they are traded have been shown. The central part…

Statistical Finance · Quantitative Finance 2021-03-10 Marcin Wątorek , Stanisław Drożdż , Jarosław Kwapień , Ludovico Minati , Paweł Oświęcimka , Marek Stanuszek

Cryptocurrencies have recently experienced a new wave of price volatility and interest; activity within social media communities relating to cryptocurrencies has increased significantly. There is currently limited documented knowledge of…

Social and Information Networks · Computer Science 2018-07-02 Ross C. Phillips , Denise Gorse
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