Winning Trades, Losing Wallets: The Hidden Friction Costs That Erode Smart Contract Profits
An autonomous trading agent can execute flawlessly on paper and still leave its operator worse off than a passive strategy once slippage, gas volatility, and tax obligations are factored in. Understanding the gap between backtested signals and net-of-fees reality is not optional for serious US investors—it is the difference between genuine alpha and expensive automation. This piece examines the arithmetic most agent operators never run.