Crypto Factor Modeling Data Challenge
Overview
The Crypto Factor Modeling Data Challenge, a collaboration between Ocean Protocol and Numerai, tests your data science skills in the evolving cryptocurrency market. Participants must create custom datasets and develop multi-factor risk models to explain cryptocurrency price variance, utilizing data from sources like Tardis, Kaiko, CCXT, and Uniswap.
Ocean Protocol is a decentralized data exchange protocol that unlocks data for AI consumption, ensuring data privacy and security while enabling the sharing and monetization of data. Numerai, on the other hand, is a hedge fund that crowdsources machine learning models to manage its portfolio, leveraging the collective intelligence of data scientists worldwide.
This challenge offers an opportunity to apply your data science skills to a real-world scenario and contribute to a broader understanding of the crypto market. You can also leverage Ocean Protocol’s secure data sharing capabilities and Numerai’s collaborative approach to machine learning.
Objectives
The primary objective is to develop multi-factor risk models that explain cryptocurrency price changes. Participants aim to enhance their understanding of the factors influencing cryptocurrency markets. The challenge promotes innovation in data collection, analysis, and modeling techniques.
Participants will identify and justify relevant factors, from simple indicators like momentum to complex frameworks like the Fama-French model. The goal is to build robust models to explain and predict price movements. This involves analyzing historical price data, trading volumes, macroeconomic indicators, and blockchain-specific metrics.
The challenge encourages a collaborative environment where participants share insights and methodologies. This collaboration improves individual models and contributes to the collective understanding of the cryptocurrency market. The objective is to enhance data analysis skills and gain valuable experience handling complex datasets.
Data
Participants gather data from sources such as Tardis, Kaiko, CCXT, and Uniswap to create comprehensive datasets. The data includes historical price data, trading volumes, macroeconomic indicators, and blockchain-specific metrics. This rich dataset forms the foundation for analysis and model development.
The data collection process emphasizes using diverse sources to capture the multifaceted nature of the cryptocurrency market. Thorough cleaning and preprocessing are crucial to ensuring data quality. This step guarantees that the dataset is reliable and ready for analysis.
Integrating data from multiple sources into a coherent format presents a significant challenge. Participants must document their data collection and cleaning methods to ensure the dataset’s integrity. This documentation is essential for building models that provide meaningful insights into cryptocurrency price movements.
Mission
The mission is to identify relevant factors influencing cryptocurrency prices. Participants use statistical techniques and machine learning methods to build and validate their models. The aim is to develop models that explain past price movements and predict future trends.
Participants document their process in a comprehensive report. This report includes an abstract, detailed factor models, data collection and cleaning methods, and conclusions with key findings and suggestions for further research.
This mission involves exploring the data to uncover patterns and relationships affecting cryptocurrency prices. The goal is to create a valuable resource for further research.
Rewards
The $20,000 prize pool will be distributed among the top 10 performers:
Participants will also earn points contributing to the 2024 championship. Accumulating points correlates with increased rewards, as seen in the 2023 Championship, where top performers received an additional $10 for each point earned throughout the year.
Opportunities
This challenge provides several opportunities to enhance your data analysis and modeling skills. Participants contribute to understanding the cryptocurrency market and apply their knowledge in a real-world, evolving market. The challenge offers exposure to advanced data science techniques and the chance to develop innovative solutions.
How to Participate
Are you ready to join us on this quest? Whether you’re a seasoned data pro or just starting, there’s a place for you in our community of data scientists. Let’s explore and discover together on Desights, our dedicated data challenge platform. The challenge runs from June 27 until August 27, 2024, at 13:00 UTC. Click here to access the challenge.
Community and Support
To engage in discussions, ask questions, or join the community conversation, connect with us on Ocean’s Discord channel #data-science-hub, the Desights support channel #data-challenge-support, and the Numerai #crypto support channel.
You can also reach us via email at dcsupport@oceanprotocol.com | support@numer.ai
About Ocean Protocol
Ocean was founded to level the playing field for AI and data. Ocean tools enable people to privately & securely publish, exchange, and consume data.
Follow Ocean on Twitter or Telegram to keep up to date. Chat directly with the Ocean community on Discord — or track Ocean’s progress on GitHub.
