How It Works

LazaiTrader combines several components to provide secure, automated trading. Here's the complete flow from registration to trade execution.

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System Overview

┌─────────────────────────────────────────────────────────────────┐
│                         USER (Telegram)                          │
│                                                                  │
│   /start  /deposit  /balance  /config  /withdraw  /chart        │
└─────────────────────────────────────────────────────────────────┘
                              │
                              ▼
┌─────────────────────────────────────────────────────────────────┐
│                      LazaiTrader Bot                             │
│                   (Cloudflare Workers)                           │
│                                                                  │
│  • Handles user commands                                         │
│  • Monitors prices every minute                                  │
│  • Checks trigger conditions                                     │
│  • Executes trades when conditions met                          │
└─────────────────────────────────────────────────────────────────┘
                              │
                              ▼
┌─────────────────────────────────────────────────────────────────┐
│                   Smart Contract Wallet (SCW)                    │
│                      (On Blockchain)                             │
│                                                                  │
│  • Holds your tokens                                             │
│  • Executes trades on whitelisted DEXs                          │
│  • Withdrawals ONLY to your personal wallet                     │
└─────────────────────────────────────────────────────────────────┘
                              │
                              ▼
┌─────────────────────────────────────────────────────────────────┐
│                    Whitelisted DEXs                              │
│                                                                  │
│  • HerculesDEX (Metis)                                          │
│  • LazaiSwap (Testnet)                                          │
└─────────────────────────────────────────────────────────────────┘

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User Journey

1. Registration

When you send /start to the bot:

1. Bot asks for your Ethereum wallet address (EOA)
2. You provide your MetaMask/Trust Wallet address
3. Bot registers you in the system
4. Your EOA becomes the only address that can receive withdrawals

info

Your EOA (Externally Owned Account) is your personal wallet address - the one you control with a private key or seed phrase.

2. Wallet Deployment

When you send /deposit:

1. Bot deploys a Smart Contract Wallet (SCW) for you
2. SCW is deployed on all active chains automatically
3. You receive the same SCW address on every chain
4. Bot shows you where to send funds

3. Funding Your Wallet

1. Copy your SCW deposit address
2. Send supported tokens (ETH, USDC, etc.) from any wallet
3. Bot detects deposits automatically
4. Use /balance to verify your funds arrived

4. Strategy Configuration

When you send /config:

1. Select a trading pair (e.g., ETH-USDC)
2. Set your trigger percentage (e.g., 10% price movement)
3. Set your trade percentage (e.g., 25% of balance per trade)
4. Set min/max trade amounts
5. Set multiplier for consecutive trades

5. Automated Trading

Once configured, the system works automatically:

Every 1 Minute:
┌─────────────────────────────────────────────────────────────┐
│ 1. Fetch current prices from multiple sources               │
│ 2. Compare to your last trade price                         │
│ 3. Check if trigger conditions are met                      │
│                                                             │
│ If price moved by your trigger percentage:                  │
│ ├─ Price UP → Execute SELL                                  │
│ └─ Price DOWN → Execute BUY                                 │
│                                                             │
│ 4. Calculate trade amount based on your settings            │
│ 5. Execute trade on whitelisted DEX                         │
│ 6. Record trade and notify you via Telegram                 │
└─────────────────────────────────────────────────────────────┘

6. Withdrawals

When you send /withdraw:

1. Select the chain to withdraw from
2. Select the token to withdraw
3. Bot executes withdrawal from your SCW
4. Funds are sent directly to your EOA (your personal wallet)

warning

Withdrawals can ONLY go to the wallet address you registered with. This is a security feature - even if someone gains access to the bot, they cannot redirect your funds.

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Trading Logic Explained

Trigger Conditions

The bot uses percentage-based triggers to decide when to trade:

Scenario	Condition	Action
Price rises	Current price > Last trade price + Trigger%	SELL
Price drops	Current price < Last trade price - Trigger%	BUY

Example:

• Last trade at $3,000
• Trigger percentage: 10%
• Current price: $3,400 (13.3% increase)
• Result: SELL triggered (13.3% > 10%)

Trade Amount Calculation

Trade Amount = Balance × Trade Percentage × (Multiplier ^ Consecutive Count)

Example:

• Balance: 1 ETH
• Trade Percentage: 25%
• Multiplier: 1.5
• Consecutive sells: 2

Amount = 1 ETH × 0.25 × (1.5²) = 0.5625 ETH

This increases position size on consecutive moves in the same direction.

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What Happens to Your Funds

State	Where Are Funds?	Who Controls?
Before deposit	Your personal wallet	You
After deposit	Your Smart Contract Wallet	You (via bot or direct)
During trade	Moving through DEX	Smart contract logic
After trade	Back in your SCW	You
After withdrawal	Your personal wallet	You

tip

Key Point: Your funds are always in wallets you control. LazaiTrader never has custody of your assets.

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Next Steps

Ready to start? Head to Getting Started for step-by-step instructions.