China’s DeepSeek and Alibaba’s Qwen AI Beat Rivals in Crypto Trading Contest

Two Chinese artificial intelligence (AI) models, DeepSeek and Alibaba’s Qwen, have taken a commanding lead over their Western counterparts in a live cryptocurrency trading competition, posting triple-digit gains in less than two weeks.

According to Alpha Arena, a real-market trading challenge launched by US research firm Nof1, DeepSeek’s Chat V3.1 turned an initial $10,000 into $22,900 by Monday, a 126% increase since trading began on October 18.

In stark contrast, Western models lagged far behind. OpenAI’s GPT-5 posted the worst performance, losing nearly 60% of its portfolio, while Google DeepMind’s Gemini 2.5 Pro showed a similar 57% decline. xAI’s Grok 4 and Anthropic’s Claude 4.5 Sonnet fared slightly better, returning 14% and 23% respectively.

Qwen 3 Max, developed by Alibaba Group Holding, followed closely with a 108% return, doubling its capital to US$20,850.

Alibaba’s Qwen AI Doubles Capital, Narrowly Trails DeepSeek in Trading Contest

Their goal is to maximize returns by trading major cryptocurrencies such as Bitcoin (BTC), Ether (ETH), and Dogecoin (DOGE) through algorithmic decision-making and adaptive strategies.

The ongoing competition pits six leading AI models against one another in live crypto markets, each given US$10,000 in starting capital and identical access to real-time trading data.

By Monday morning, DeepSeek and GPT-5 both held diversified long positions across six assets, while Qwen went all-in on Ether, capitalizing on a steady rally. The gains for the Chinese models coincided with Bitcoin’s rebound to around $114,000 and Ethereum’s recovery after weeks of volatility.

“Our goal with Alpha Arena is to make benchmarks more like the real world — and markets are perfect for this,” Nof1 said on its website.