Choosing Crypto Copy-Trading Platforms for the Cryptocurrency Market
Copy trading lets you automatically replicate the trades of professional traders. These platforms allow you to select traders to follow based on their trading styles and past performance, making it easier to participate in the crypto market without managing trades yourself.
- The idea is to follow successful traders and automatically copy their orders in real time
- Choosing which professional traders to follow should align with your personal profile and risk tolerance
- Once you select traders, their trades will be executed in your account proportionally to the capital you allocate to each of them.
The first step is to find a reliable copy-trading platform that supports one or more cryptocurrency exchanges.
Choosing a Copy-Trading Platform
When selecting a copy-trading platform, consider the following key features:
- Supported Exchanges:
Ensure the platform supports your preferred cryptocurrency exchanges and the financial markets you wish to trade.
- Regulatory Compliance:
Regulatory compliance is crucial for every trader. Confirm that the platform complies with the regulations applicable to your country of residence.
- Cost of Trading:
Understand all fees involved, including platform fees and success fees paid to the professional traders you copy.
Check whether success fees are charged weekly, monthly, or otherwise — longer periods generally benefit retail traders.
- Customer Support:
Responsive customer service is vital for resolving issues during your copy-trading experience. A reliable live chat feature can significantly improve communication.
- Technological Efficiency:
Order execution speed is critical, especially if you plan to copy day-trading strategies. Additionally, platforms offering social integration allow you to interact with and learn from other experienced traders.
- Variety of Tools:
Essential tools include:
-
Customization Options: Ability to adjust parameters like capital allocation, leverage, and trade size to fit your strategy.
-
Order Types: Availability of basic orders such as stop-loss and take-profit to manage risk.
-
Performance Metrics: Access to detailed historical data on traders you follow, including average returns, drawdown, and success rate.
Comparing Crypto Copy-Trading Platforms
Below is a comparison of some of the top crypto copy-trading platforms and their key features:
Table: Comparing Crypto Copy-Trading Platforms
|
Platform |
Supported Exchanges |
Copy-Trading Features |
Fees |
|
Bybit |
|
|
Trading Fees:
Profit Sharing to Master Traders:
|
|
Binance |
|
|
Trading Fees:
Profit Sharing to Lead Traders:
|
|
OKX |
|
|
Trading Fees:
Profit Sharing to Lead Traders:
|
|
eToro |
|
|
Trading Fees:
Profit Sharing to Popular Traders:
|
|
Coinmatics |
|
|
Trading Fees:
|
ByBit Exchange
Founded in 2018 and domiciled in Dubai, Bybit is a multi-featured crypto exchange offering futures, options, and copy-trading to a customer base of 10 million traders.
- Bybit Adjusts EEA Services to Align with MiCA Regulations
- 329 Cryptos on spot and 186 Futures markets
- Supports Credit/Debit Cards | GooglePay | Revolut
- The profit-sharing ratio varies based on the rank of the Master Trader and ranges between 10% and 15%
Trading Fees:
- Options (Fees: 0.03% / 0.03%)
- Futures (Fees: 0.01% / 0.06%)
Bybit copy trading pros:
- Wide selection of money managers (Master Traders)
- 3 Trading Bots are available (Spot Grid Bot, DCA Bot, Futures Grid Bot)
- Up to 100x leverage available
- Customizable preferences and fund allocation options
- Competitive pricing (low-cost trading)
Bybit copy trading cons:
- Customer support
- Limited to one exchange
» https://www.bybit.com/copyTrade
Binance Exchange
Binance offers copy-trading features that allow replicating the trading strategies of a wide variety of crypto fund managers.
- Deposit via Debit/Credit cards, bank transfers, or make a direct crypto deposit
Spot Trading
- Spot copy-trading supports more than 100 pairs
- Binance Spot fees are set at a standard rate of 0.1% for regular users, which applies to both makers and takers
- You can pay for trading fees with BNB to enjoy a 25% discount
- There are also special discounts for VIP accounts
Futures Trading (USDT)
- Regular Traders (maker/taker): 0.02% / 0.05%
- VIP Level-1 Traders (maker/taker): 0.016% / 0.04%
- VIP Level-7 Traders (maker/taker): 0.0% / 0.017%
Withdrawal Fees
if you're cashing out Tether using the BNB Smart Chain, you won't have to pay any withdrawal fee. However, if you're using the Ethereum Mainnet, there's a flat charge of 5 USD. For Bitcoin withdrawals via the Lightning Network, the fee is 0.000001 BTC.
How does copy trading work?
After copying a portfolio, the system will automatically duplicate the trades executed by the lead traders for the copy traders. Order size would be based on the copy portfolio setting and market situation.
- Lead traders can earn a 10% profit share and a 10% commission rebate from copy traders
- Trading Futures and on Spot
Binance copy trading pros:
- High liquidity
- Competitive pricing (low-cost trading)
Binance copy trading cons:
- Some products may be limited depending on your location
- Copy trader profiles may not be internally vetted
- Fees for smaller traders are relatively high
» https://www.binance.com/en/copy-trading
OKX Exchange
OKX, formerly OKEx, offers a copy trading feature. OKX supports various coins and trading pairs, offering multiple trading options.
- Copy trading for both spot and perpetual futures markets
- 114 cryptocurrency pairs
- You can copy up to 10 trades when using the "Open/Close" position mode, and 1 trader when using the "Buy/Sell" position mode
- Copy traders have a spread protection of 0.5% when opening a position
- Deposit via Debit/Credit cards, bank transfers, or make a direct crypto deposit
Trading Fees
- Trading fees start at 0.1% and decrease with higher trading volumes or larger stakes in OKX's currency, OKB token
- Lead traders receive between 8% and 13% of each copy trader's profit share
- Staking with OKX offers the opportunity to earn high annual interest rates
The following countries don't support copy trading:
- United States, Canada, United Kingdom
- Hong Kong, Singapore, Cuba, Iran, North Korea, Crimea, Malaysia, Syria, Bangladesh, Bolivia, and Malta
OKX copy trading pros:
- Low fees
- User-friendly interface suitable for beginners
- Low deposit and conversion fees
- Ability to filter traders by AUM capacity
OKX copy trading cons:
- Not available for US residents
- Increasing KYC processes for users worldwide
» https://www.okx.com/copy-trading
eToro Exchange
eToro is one of the most popular social trading platforms for retail traders with over 20 million users from 140 countries. They support cryptocurrency trading and are regulated by the British FCA UK.
- Offering access to 108 crypto pairs
- Copied trades are replicated to your portfolio in real-time
- Copy Stop-Loss (CSL)
- Copying is free (no charges for using the CopyTrader)
- Start/stop copying and add/remove funds at any time
- The minimum amount to invest in a trader is $200 and the maximum is $2,000,000
- The minimum amount for each copied position is $1
- 100 is the maximum amount of traders that you can copy simultaneously
Trading Fees
- eToro charges 1% for buying or selling crypto
- eToro charges overnight fees for holding CFD positions. However, they do not charge overnight fees on stock, crypto, or ETF positions that are secured with real assets
Withdrawal Fees
- $5 fee If you withdraw funds from your eToro USD investment account
- Conversion fee if you withdraw to an account in a non-USD currency
eToro copy trading pros:
- Traders have blogs, and users can chat with them
- User-friendly interface ideal for beginners
- Reputable and regulated company
eToro copy trading cons:
- Expensive trading fees
- Charges fees for inactivity
- Higher withdrawal fees than others
- Traders may not be internally vetted
» https://www.etoro.com/copytrader
Coinmatics
Coinmatics is an automatic copy trading platform offering a wide selection of professional traders along with detailed performance metrics.
- To start copy trading, you need to create an account on the exchange, connect your exchange account API key to Coinmatics, choose a strategy created by a trader, and subscribe to it. Therefore, you’ll get a similar trading profit as the trader you follow.
Fees
- Free for up to $1,000 investment
- Lite Program for $180 yearly (up to $10K)
- Premium program $360 yearly
Coinmatics copy trading pros:
- Promotions for free plans are often available
- Fast technical support
- User-friendly interface
- Free plan for small-volume traders
- Supports both manual and automatic copy trading modes
Coinmatics copy trading cons:
- Higher commissions for traders
- Supports only three exchanges
- Lack of futures and margin copy trading options
Other Professional Crypto Portfolio Management Solutions Domiciled in Europe
- Crypto portfolio management across 10+ global exchanges
- Access to over 150+ cryptocurrencies
- UK-based
- Talos Portfolio Management System (PMS)
- Talos' PMS for crypto, offering portfolio construction, optimization, strategy backtesting, and rebalancing tools to manage crypto investments
- UK-based
- Full suite of services for hedge fund managers in digital assets
- UK-based
- Crypto Portfolio Management
- FRANCE-based
- SaaS-Based Crypto Asset Management Platform
- CZECH-based
■ Choosing Crypto Copy-Trading Platforms for Trading the Cryptocurrency Market
G.P. for ExpertSignal.com (c)
14th of January 2025
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