ChatGPT Lost 63% Trying To Trade Crypto — But One China AI Made A Healthy Profit

Core Insights - OpenAI's ChatGPT experienced a significant loss of 63% in a crypto trading competition, finishing last among six large language models [1][2] - The competition highlighted the varying performance of AI models in trading, with Alibaba's Qwen3 Max achieving a profit while others, including ChatGPT, incurred substantial losses [2][5] Performance Summary - ChatGPT lost $6,267, while other models like Google's Gemini and X's Grok also reported losses of $5,671 and $4,531 respectively, from a starting balance of $10,000 [3] - Qwen3 Max led the competition with a profit of $2,232, demonstrating effective trading strategies despite incurring the highest fees of $1,654 [2][4] Trading Dynamics - The competition revealed that trading costs significantly impacted AI performance, with over-trading leading to losses that negated small gains [4] - Win rates across the models ranged from 25% to 30%, indicating a lack of consistent success in trading strategies [4] Stress Test Insights - The event was described as a controlled stress test for generative AI systems, revealing that LLMs struggle with numerical time-series data under strict conditions [6] - Each AI model exhibited unique investing behaviors, suggesting that their approaches to market trading can be predictable [6] Implications for AI in Trading - The results indicate that while AI can analyze markets, it cannot replace the need for effective strategy and risk management [9] - The success of Qwen3 Max emphasizes that disciplined trading can outperform mere predictive capabilities [8]