Spot Is Included in Gate.io Copy Trading! Start A Brand New Journey Today!
Spot Is Included in Gate.io Copy Trading! Start A Brand New Journey Today!
Since the launch of Gate.io Copy Trading, we have received feedback and suggestions from many users. Our team has been working hard to improve user experience and has included Spot into the copy trading in March 27, 2023 so that users can trade both on Future and Spot. It provides more options and higher degrees of freedom for lead traders and copiers! Since Spot products have lower risk, it is not easy to cause liquidation, and it is easier to adapt to the current market environment! With this upgrade, you will have more currency options, including 25+ Future currencies & 50+ Spot currencies, as well as easier parameter settings, a more complete welfare , and up to 70% rebates!
What is Gate.io Spot Copy Trading?
As one of the largest digital asset copying platforms in the world, Gate.io has decided to launch the “Spot Copy Trading” function which complements its counterparts - “Strategy Bot”, “Copy Trading-Future” and other products, and satisfies the needs of different users to the greatest extent. Spot Copy Trading is characterized by “low slippage, low delay, low loss rate, and low liquidation rate.” It has emerged just in time according to the current market and helps users obtain stable returns at low risks. Like Copy Trading - Future, experienced investors can apply to become a spot lead trader, and obtain additional sources of income. Spot lead traders have a high rebate ratio, profit sharing, and a complete benefit . Inexperienced investors can settle in, become copiers and follow the experienced lead traders to trade without needing to keep an eye on the market. This way, copiers can get profit easily. Enter Spot Copy Trading!
How to use Spot Copy Trading? Please refer to: https://www.gate.io/help/quants/copy-trading/30085/gate.io-copy-trading-guide-to-how-to-become-a-spot-copy-trading-lead-trader
Spot Copy Trading vs Future Copy Trading
Spot and Future have different trading mechanisms, each of which has its own advantages and disadvantages. Different trading mechanisms have different operation methods, which can be understood as using different tools to achieve profits. Generally speaking, Spot and Future have the following differences:
1. Risk Level1. Risk Level
Spot products are less risky, less prone to liquidation, and easier to adapt to downturns or volatile market conditions.
2. Stability of Return
The return of spot copy trading is more stable, while the return of future is more aggressive. Future has high requirements for technical analysis (mainstream currency), the return of which comes and goes quickly. It’s better to trade on familiar cryptocurrencies on Future, master its rhythm, make a trading strategy before placing an order, reasonably control the position, and set take-profit and stop-loss.
3. Different Leverage Range
There is no leverage in spot copy trading. For example, if you buy a coin for $1,000, if the price of the coin rises by $1, you will earn $1. If you buy 10 coins, you will earn $10. There is leverage in future, ranging from 1~20x. For example, if a user buys at $1,000 and sets a leverage multiple, if the direction is right, he can earn multiple returns with a small amount of principal, which gives those who lack funds a good opportunity to make a big difference with a small amount.
4. Different Trading Directions
Spot is a one-way transaction, meaning you can only buy up, not down. That is to say, after investors buy coins, they can only make money when the price of the currency rises. If the price falls, they will lose money. As long as the coin bought by the investor still has value, then he still owns the coin and will not lose money. When the price rises, he can still make a profit. The trading direction of future is two-way, in which investors can go short or long. No matter whether the crypto investors’ buy is rising or falling, as long as the buying direction is right, they can make money. At the same time, leverage can be adjusted to achieve multiple profits. But the currency of future bought does not belong to the investor, and the investor only buys the ups and downs of the currency.
5. Differences in Technical Requirements
The technical requirements of spot are not high for currency enthusiasts with a low-risk appetite, because investors are interested in its potential for future appreciation and do not need to pay attention to price fluctuations. This is not always the case, after all, there are many coins whose price will fall to zero. Future has high technical requirements. If the direction is wrongly judged and the margin is insufficient, it will be liquidated. The margin is just like the deposit. When the market fluctuates greatly and the deposit is not enough, it will be liquidated. Future has a strict requirement in the aspects of technical analysis, position management, mentality control, etc.
Spot Copy Trading vs Future Copy Trading, How to Choose?
Whether it is spot or future, each has its own advantages and disadvantages, and there are always investment risks. High returns always coexist with high risks. No matter whether you are doing spot or future, you should only invest what you can afford to lose. The lead trader should choose the leading types reasonably according to his own strength. The same is true for copiers who should consider how to choose a lead trader on the premise of choosing a good trading currency.
