Hummingbot — Automated Crypto Market-Making & Trading Bots

> ⚠️ Trading involves risk. Paper trading (simulated fills, no real funds) is the default in this template. Always validate a strategy in paper mode before connecting real exchange accounts. Use at your own risk.

Hummingbot is the open-source framework for building and running automated trading strategies — market making, arbitrage, and custom scripts — across 140+ centralized and decentralized exchanges. This template runs the official pinned Docker image (hummingbot/hummingbot:version-2.16.0) in headless mode: the bot boots straight into a pure market-making strategy on Kraken paper trading, no interactive terminal or SSH required.

Deploy and Host

Deploy with one click. On first boot the container seeds a sample strategy config (simple_pmm — pure market making) onto a persistent Railway volume, applies any HBOT_* environment overrides, starts an HTTP health endpoint, and launches the bot headlessly. Strategy configs, connector credentials, logs, and trade data persist on the volume across redeploys.

About Hosting

Single service, official pinned hummingbot/hummingbot:version-2.16.0 image — no source build
Runs in headless mode via the image's native HEADLESS_MODE/SCRIPT_CONFIG env vars (no TTY needed)
Default strategy: simple_pmm on kraken_paper_trade — simulated fills, zero exchange keys needed
Persistent Railway volume at /home/hummingbot/data — strategy configs, encrypted keystore, logs, data
Built-in HTTP health endpoint on port 8080 (/health reports bot process liveness)
Tune strategy parameters via HBOT_* env vars — no need to edit YAML by hand
hbot CLI is available inside the container for advanced control: hbot status --json, hbot stop, hbot connect kraken, etc.

Why Deploy

Zero-touch always-on market making: your quoting strategy runs 24/7 with automatic restarts and persistent state, instead of a terminal session on your laptop
Paper-trade first: every *_paper_trade connector simulates order fills against live market data — learn and tune with zero risk before wiring real funds
Config-as-environment: change exchange, pair, spreads, and order size from Railway's variable editor; the entrypoint applies them on each deploy
Strategy files on a volume: hot-swap strategies by editing YAML on the volume or pushing new scripts, then restart

Common Use Cases

Paper trading market making: validate spread/refresh parameters on kraken_paper_trade before going live
Live spot market making: add Kraken (or any supported CEX) API keys via the encrypted keystore
Custom V2 strategies: drop your own script into conf/scripts/ on the volume, point SCRIPT_CONFIG at it, redeploy
Strategy prototyping: use the bundled sample scripts (simple_pmm, simple_vwap, v2_funding_rate_arb, ...) as starting points

Dependencies for Hummingbot

Public Dependencies: None — everything runs in a single container with state on the attached volume.

Private Dependencies:

Exchange API key + secret (only for live trading — paper trading needs none)
Optional: Hummingbot Gateway (self-hosted DEX middleware) for DEX connectors — not included in this single-service template

Deployment Dependencies

hummingbot/hummingbot:version-2.16.0 — official pinned Docker image (Docker Hub)
Kraken REST/WebSocket API — market data + simulated fills for the default paper-trade connector
SQLite + file storage — trade history and configs live on the attached Railway volume (no external database service needed)

Environment Variables

Variable	Default	Description
`PORT`	`8080`	Health endpoint port — must match the Railway domain target port
`HEADLESS_MODE`	`true`	Headless mode (no TUI). Keep true on Railway
`SCRIPT_CONFIG`	`simple_pmm.yml`	Strategy config file to run (from `conf/scripts/`)
`CONFIG_PASSWORD`	auto-generated	Keystore password encrypting connector API keys on the volume
`HBOT_EXCHANGE`	`kraken_paper_trade`	Connector id (any `*_paper_trade` needs no keys)
`HBOT_TRADING_PAIR`	`ETH-USD`	Market to make
`HBOT_ORDER_AMOUNT`	`0.05`	Order size (base currency)
`HBOT_BID_SPREAD` / `HBOT_ASK_SPREAD`	`0.5` / `0.5`	Spreads from mid price, in percent
`HBOT_ORDER_REFRESH_TIME`	`30`	Seconds between order refreshes
`HBOT_PRICE_TYPE`	`mid`	`mid`, `last`, `best_bid`, or `best_ask`
`HBOT_KILL_SWITCH_ENABLED` / `HBOT_KILL_SWITCH_RATE`	`false` / `-10.0`	Emergency stop on drawdown

Post-Deploy Setup

Watch the deploy logs — the bot seeds its config, connects to Kraken paper trading, and starts quoting
Check /health on your deployment URL — it reports the bot process liveness
Verify trading activity: railway run --service hummingbot -- hbot status --json (or hbot logs)
Go live when ready: railway run --service hummingbot -- hbot connect kraken, set HBOT_EXCHANGE=kraken, and redeploy
Swap strategies: edit conf/scripts/*.yml on the volume (or add new scripts), then redeploy

Deploy hummingbot