ZIGDAO’s Success Story in the Brazilian Market

Zignaly
6 min readNov 8, 2023

Innovation Meets Collaboration: ZIGDAO and Criptomaniacos Join Forces in the Brazilian Market

We at ZIGDAO are excited to announce a groundbreaking partnership with the renowned Brazilian community, Criptomaniacos. By tailoring our Z-Prime solution to meet their specific needs, we’ve already witnessed over 5,000 users embracing Criptomaniacos’ customized Zignaly version, generating more than $2.5 Million in AUMs.

Our partnership promises ongoing support, and at ZIGDAO, we anticipate a rapid surge in user numbers, crossing the one-million mark in no time, with double the assets under management (AUM) flowing into Criptomaniacos’ expert trading strategies.

Who is Criptomaniacos?

Criptomaniacos is a Brazilian crypto-community with over 500,000 users, led by the visionary Guilherme Rennó. Criptomaniacos has emerged as a transformative community, delivering knowledge, trust, and opportunities to countless individuals in Brazil.

From Oil to Crypto — where this all began:

Guilherme Rennó’s journey showcases human resilience. After a successful decade in the petroleum sector, he faced the “Petrolão” scandal, a billion-dollar corruption scheme that rocked Brazil from 2003 to 2016. This scandal involved bribery, money laundering, embezzlement, and inflated contracts within Petrobras.

To explore Guilherme´s journey, watch this video (Portuguese)

The scandal cast a shadow over the petroleum industry, leaving Guilherme jobless and his career in ruins. Faced with uncertainty and a bleak future, he turned to blockchain and cryptocurrencies as a transparent, fair financial system with the potential to make a positive impact. He dedicated himself to research and gaining expertise in this new field.

In 2017, Guilherme set out to share his knowledge through a YouTube channel. Despite a setback where his first channel was removed by YouTube, he remained unwavering. In 2018, he launched Criptomaniacos, displaying his determination.

His exceptional ideas, friendly teaching style, and extensive knowledge led to exponential growth for his channel. Criptomaniacos are on a mission to share insights about cryptocurrencies, financial markets, and the concept of financial freedom. In 2019, they expanded by providing cryptocurrency signal services, simplifying participation in the new economy.

Triumph Through Struggles

Mid-2023, amidst a bear market, Criptomaniacos faced significant scalability issues due to their remarkable success in attracting users to their community and crypto services.

They adopted copy-trading to share their trading signals, a widely used system for replicating a trader’s actions in followers’ accounts. While many exchanges are incorporating copy-trading, they face limitations in the number of followers per strategy due to its scalability challenges.

There are two main issues with copy-trading:

Latency

This is a technical problem that can be addressed with a high-quality implementation. In Zignaly, we distributed followers’ orders among over 500 lambdas, yet we still encountered around a 5-second delay between the trader’s entry and the last user’s entry. In trading, a 5-second delay is significant and can be detrimental to your strategy.

Liquidity

Even if you send all orders simultaneously, they still enter an order book. In the case of limit orders, all follower trades have the same price, which follows a specific order, like FIFO (first in, first out). No matter how well-synchronized and fast you send orders, some will end up being executed first, and others will be last. As a result, some followers may have unfilled orders because others already used the available liquidity at that price.

Conversely, in a system using market orders, you can ensure entry and exit for everyone. However, there can be significant price differences between the first participant (the trader) and the last follower who completes the order.

Additional concerns with copy-trading, not relevant to Criptomaniacos, include the potential for dishonest traders to exploit their signals, gaining both substantial profits and an impressive track record.

Criptomaniacos reached a point where the time gap between the initial signal and the last follower entering the trade extended to a 5-minute delay.

To prevent further deterioration, they had to halt new follower registrations for their services.

ZIGDAO Solution

ZIGDAO was well aware of Criptomaniacos’ challenges. Zignaly, which began as an automation solution for signal providers and later evolved into a copy-trading platform, handled over a billion in monthly trade volume and served hundreds of thousands of users. They encountered similar issues, and despite reducing delays, disparities between traders and followers’ results persisted.

ZIGDAO introduced profit-sharing technology, ensuring consistent results for both traders and their followers. While not flawless initially, it resolved copy-trading issues. After two years of refining profit-sharing, ZIGDAO released a second version, enhancing reliability, speed, and readiness for institutional traders and hedge funds.

Criptomaniacos found the solution to their challenges in ZIGDAO’s approach. They could concentrate on delivering top-notch content and services to their community, while ZIGDAO handled the technological aspects, leveraging their expertise and industry experience.

Screenshot from Criptomaniacos white-label, powered by ZIGDAO

The Partnership

After a testing phase, Criptomaniacos embraced the solution, and their beta testers were equally enthusiastic about their experience.

Criptomaniacos is Brazil’s foremost crypto-community, deeply connected with their community and well-versed in their language. This presented a significant opportunity for ZIGDAO to tap into the Brazilian market.

Following discussions between Ghillerme and Bart, they realized they sought more than just a commercial deal; they aimed for a true partnership to mutually thrive. ZIGDAO will furnish its cutting-edge technology, encompassing advanced fund management solutions and AI-driven Z-Score, enhancing Criptomaniacos’ services and returns for their community. Additionally, the ZIGDAO ecosystem, featuring significant affiliate groups and influential KOLs, will foster ZIGDAO’s expansion in Brazil through Criptomaniacos.

In a significant partnership, Criptomaníacos established a new company within its group, LASTRA, entrusted with managing all their financial products. LASTRA, a global brand, combines Criptomaníacos’ expertise with ZIGDAO’s technology to provide consumers with a seamless experience and winning crypto investment strategies.

LASTRA’s business model adheres to the “Skin and Soul in the Game” mantra. Utilizing ZIGDAO’s technology, they’ve developed a performance-based system allowing customers to invest with just $1. In its first 20 days, the platform attracted over $2 million in investments from early-access customers, resulting in over $70,000 in profits.

LASTRA’s core values are Freedom, representing its purpose, Rebellion, to challenge the status quo, and the Know-How of a crypto-native team. This innovative company is set to disrupt the Brazilian and global crypto markets, offering a viable, specialized, and secure solution.

Criptomaniacos will integrate ZIGDAO into their ecosystem, and they’ll also adopt the ZIG token. A portion of the platform revenue will be used to buy back ZIG tokens from the open market and permanently remove them (burn). Leveraging their reputation and expertise in Latin America, they will assist in introducing ZIGDAO to the region and potentially identify additional country managers across the continent.

Unlocking Benefits for Criptomaniacos Community
The key advantage is the resumption of Criptomaniacos’ trading service, which they had to limit due to scalability problems.

Furthermore, the AI-driven z-score algorithm will monitor their trading strategies, identifying areas for enhancement and categorizing these strategies. It will also provide the community with a clearer understanding of the distinctions between each service.

Joining the ZIGDAO ecosystem provides access to a wide array of resources, including venture capitalists, key opinion leaders (KOLs), affiliates, and a user base exceeding 500,000 individuals seeking successful strategies

The ZIGDAO Community Edge

From ZIGDAO’s standpoint, the primary advantage is the boost in Assets Under Management (AUM) that the protocol will gain as more users join Criptomaniacos’ Brazilian platform. This surge in AUM translates to increased revenue, allowing for more token buybacks and burning. Additionally, Criptomaniacos operates various trading strategies, including some with over one million AUM from beta users who participated in the testing phase.

Their “Carteira HODL” strategy is set to secure one of the top three whale positions on the Zignaly marketplace.

ZIGDAO will leverage Criptomaniacos’ expertise and knowledge in Latam to expand and attract a broader investor base.

They also traveled with us to Istanbul to be part of the #BinanceBlockChainWeek as a good gesture! Here is a picture of the two co-founders of ZIGDAO and members of Croptomaniacos!

Co-Founders ZIGDAO & Members of Cryptomaniacos, at the official venue of #BinanceBlockChainWeek!

Conclusion:

  • ZIGDAO integrates Criptomaniacos, a 500,000+ user community.
  • Criptomaniacos will employ a tailored Z-Prime version for their services.
  • Z-Prime platform revenue supports the BB&B program.
  • Criptomaniacos will enhance their strategies with Z-Score AI.

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Zignaly

Zignaly is a group of passionate individuals who are building a trusted crypto social investment platform that leverages the playing field for everyone.