Insilico Terminal Podcast Insilico Terminal Podcast Episode 10 - Scott Phillips
Nov 13, 2025
Scott Phillips, a professional algorithmic trader who transitioned from traditional finance to crypto in 2019, shares his intriguing journey through the DeFi landscape. He discusses the psychological aspects of trend-following, the efficiency found in simpler trading systems, and the criticality of managing burnout and mental health. Scott also reflects on his past, detailing his redemption story after prison, and dives into the dynamics of trading in memecoins and smaller exchanges. He offers insights on future trends in systematic trading and the importance of community in the crypto space.
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Exploiting A Pinned Funding Rate
- Scott traded on a third‑tier exchange where funding was pinned and earned huge returns by hedging correctly in the native token.
- The trade required operational discipline to keep profits hedged in OX token to avoid hidden product traps.
Wear Counterparty Risk Eyes‑Wide‑Open
- Accept counterparty risk intentionally and manage it actively with withdrawals and alarms.
- Don't assume crypto can be made risk‑free without taking explicit custody or insurance steps.
Model Signals As Continuous Allocations
- Blend continuous signals (momentum, carry, volume, open interest) into a single wavy allocation signal.
- Modeling factors continuously beats binary entry rules and reduces predictable flow exploitation.
