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The study proposes a quote-driven predictive automated market maker (AMM) platform with on-chain custody and settlement functions, alongside off-chain predictive reinforcement learning capabilities to improve liquidity provision of…

Trading and Market Microstructure · Quantitative Finance 2023-01-27 Tristan Lim

The dramatic adoption of Bitcoin and other cryptocurrencies in the USA has revolutionized the financial landscape and provided unprecedented investment and transaction efficiency opportunities. The prime objective of this research project…

An algorithmic stablecoin is a type of cryptocurrency managed by algorithms (i.e., smart contracts) to dynamically minimize the volatility of its price relative to a specific form of asset, e.g., US dollar. As algorithmic stablecoins have…

Cryptography and Security · Computer Science 2021-01-22 Wenqi Zhao , Hui Li , Yuming Yuan

The aim of this paper is to investigate the effect of a novel method called linear law-based feature space transformation (LLT) on the accuracy of intraday price movement prediction of cryptocurrencies. To do this, the 1-minute interval…

Statistical Finance · Quantitative Finance 2023-05-09 Marcell T. Kurbucz , Péter Pósfay , Antal Jakovác

The use of cryptocurrencies has led to an increase in illicit activities such as money laundering, with traditional rule-based approaches becoming less effective in detecting and preventing such activities. In this paper, we propose a novel…

Machine Learning · Computer Science 2024-10-10 Hrushyang Adloori , Vaishnavi Dasanapu , Abhijith Chandra Mergu

Sophisticated machine learning (ML) models to inform trading in the financial sector create problems of interpretability and risk management. Seemingly robust forecasting models may behave erroneously in out of distribution settings. In…

Machine Learning · Computer Science 2021-10-01 Gabriel Deza , Adelin Travers , Colin Rowat , Nicolas Papernot

The increasing deployment of advanced digital technologies such as Internet of Things (IoT) devices and Cyber-Physical Systems (CPS) in industrial environments is enabling the productive use of machine learning (ML) algorithms in the…

Machine Learning · Computer Science 2021-12-21 Nicolas Jourdan , Sagar Sen , Erik Johannes Husom , Enrique Garcia-Ceja , Tobias Biegel , Joachim Metternich

This paper investigates the issue of an adequate loss function in the optimization of machine learning models used in the forecasting of financial time series for the purpose of algorithmic investment strategies (AIS) construction. We…

Computational Finance · Quantitative Finance 2023-09-20 Jakub Michańków , Paweł Sakowski , Robert Ślepaczuk

This paper proposes a novel approach for Asset-Liability Management (ALM) by employing continuous-time Reinforcement Learning (RL) with a linear-quadratic (LQ) formulation that incorporates both interim and terminal objectives. We develop a…

Machine Learning · Computer Science 2025-09-30 Yilie Huang

Bitcoin is firmly becoming a mainstream asset in our global society. Its highly volatile nature has traders and speculators flooding into the market to take advantage of its significant price swings in the hope of making money. This work…

Machine Learning · Computer Science 2021-10-29 Nathan Crone , Eoin Brophy , Tomas Ward

Recent advancements in money laundering detection have demonstrated the potential of using graph neural networks to capture laundering patterns accurately. However, existing models are not explicitly designed to detect the diverse patterns…

Cryptography and Security · Computer Science 2025-08-19 Yasaman Samadi , Hai Dong , Xiaoyu Xia

Predicting cryptocurrency returns is notoriously difficult: price movements are driven by a fast-shifting blend of on-chain activity, news flow, and social sentiment, while labeled training data are scarce and expensive. In this paper, we…

Machine Learning · Computer Science 2026-02-03 Junqiao Wang , Zhaoyang Guan , Guanyu Liu , Tianze Xia , Xianzhi Li , Shuo Yin , Xinyuan Song , Chuhan Cheng , Tianyu Shi , Alex Lee

The robustness of modern machine learning (ML) models has become an increasing concern within the community. The ability to subvert a model into making errant predictions using seemingly inconsequential changes to input is startling, as is…

Machine Learning · Computer Science 2023-06-19 Edward Raff , Michel Benaroch , Andrew L. Farris

Deep Neural Networks (DNNs) are becoming integral components of real world services relied upon by millions of users. Unfortunately, architects of these systems can find it difficult to ensure reliable performance as irrelevant details like…

Machine Learning · Computer Science 2023-05-22 Arghya Datta , Subhrangshu Nandi , Jingcheng Xu , Greg Ver Steeg , He Xie , Anoop Kumar , Aram Galstyan

Blockchain technology shows significant results and huge potential for serving as an interweaving fabric that goes through every industry and market, allowing decentralized and secure value exchange, thus connecting our civilization like…

Computational Finance · Quantitative Finance 2018-10-17 Zvezdin Besarabov , Todor Kolev

Machine learning (ML) is increasingly applied across industries to automate decision-making, but concerns about ethical and legal compliance remain due to limited transparency, fairness, and accountability. Monitoring through logging a…

Software Engineering · Computer Science 2025-08-26 Patrick Loic Foalem , Leuson Da Silva , Foutse Khomh , Heng Li , Ettore Merlo

Robust reinforcement learning (RL) aims to find a policy that optimizes the worst-case performance in the face of uncertainties. In this paper, we focus on action robust RL with the probabilistic policy execution uncertainty, in which,…

Machine Learning · Computer Science 2023-07-21 Guanlin Liu , Zhihan Zhou , Han Liu , Lifeng Lai

On-chain data (metrics) of blockchain networks, akin to company fundamentals, provide crucial and comprehensive insights into the networks. Despite their informative nature, on-chain data have not been utilized in reinforcement learning…

Portfolio Management · Quantitative Finance 2023-07-06 Zhenhan Huang , Fumihide Tanaka

When machine learning systems fail because of adversarial manipulation, how should society expect the law to respond? Through scenarios grounded in adversarial ML literature, we explore how some aspects of computer crime, copyright, and…

Machine Learning · Computer Science 2018-12-06 Ram Shankar Siva Kumar , David R. O'Brien , Kendra Albert , Salome Vilojen

This paper studies liquid staking tokens (LSTs) on automated market makers (AMMs), both theoretically and empirically. LSTs are tokenized representations of staked assets on proof-of-stake blockchains. First, we model LST-liquidity on AMMs…

Cryptography and Security · Computer Science 2024-07-22 Krzysztof Gogol , Robin Fritsch , Malte Schlosser , Johnnatan Messias , Benjamin Kraner , Claudio Tessone