Binance Introduces Spot Copy Trading, Offers Automated Trading Advantages

Today, Binance, the leading blockchain ecosystem behind the biggest cryptocurrency exchange globally in terms of trading volume, revealed the launch of its much awaited spot copy trading strategy tool. In May 2024, the functionality will be completely pushed out for all users. Experienced users who fulfill the minimum portfolio asset size criteria may now register as lead traders.

Along with Spot Grid Trading, Dollar-Cost Averaging (DCA), and Rebalancing Bot, Binance now offers an even more comprehensive and well-liked selection of automated spot strategy trading tools with the introduction of spot copy trading. Using automated trading tools, such spot copy trading, has the following advantages:

• 24/7 Coverage: The customer has more discretion over how they choose to engage in the 24 hour, 7 day a week cryptocurrency market thanks to automated trading tools.
• Speed and Efficiency: Automated trading tools go beyond what a single user can do on their own by processing enormous volumes of market data and executing orders in milliseconds after a user has established their trading methods and settings.
• Cuts Emotions Out of Decision-making: Because automated trading programs follow preset trading methods and specifications, they assist users in avoiding emotional or impulsive trading.
• Risk Management and Diversification: Users have access to an ever-expanding array of tools for risk control and diversification via automated trading.

By following and automatically executing the same trades as the lead traders, copy traders may benefit from the experiences, trading methods, and risk management tactics of other users. When lead traders allow copy trading on their portfolio, they might profit from their experience.

Rohit Wad, Chief Technology Officer at Binance, shared:

“At Binance, we’re always listening to our users and incorporating their feedback into our products. Our users give us great ideas because, very often, they know what works best for them. Spot copy trading is one such idea that came from community feedback. This is a great tool that automates trading for our users, and gives them the ability to try new trading strategies.”

In October 2023, Binance first introduced copy trading for its highly liquid futures products in a few different regions. Users will have considerably more freedom in managing their trading tactics and overall portfolio in markets that provide both spot and futures copy trading.

On Binance, users have the ability to trade both lead and copy concurrently. Ten lead trader portfolios may be copied by each user, and each user may have one lead trader account. When copy traders duplicate lead traders’ transactions, lead traders get a ten percent profit share and a ten percent trading commission refund. Copy traders have the ability to examine the performance parameters of lead traders, such as their profit and loss record, and choose the ones they want to adhere to while establishing their own risk controls.

Benefits of Binance spot copy trading for lead traders consist of:

• Ease of Use: Easy to register; no long process is needed.
• Revenue Distribution: 10% profit split and 10% follower commission refund.
• Largest User Base: Engage with millions of prospective copy traders.
• Regular Payouts: Weekly payouts are made.

Benefits of Binance spot copy trading for copy traders consist of:

• Ease of Use: A streamlined interface facilitates copy trading.
• Learning: Utilize top traders’ expertise to get insight into trading tactics.
• Transparent: Performance measures of lead traders are easily accessible.
• Highly accessible: A market-driven fee structure facilitates trading accessibility.

Binance welcomes lead traders to begin assembling their portfolios and take part in a Lead Trading Tournament, which will take place from April 24 to May 8, 2024. Availability on the Binance app will be introduced gradually.