Crypto exchange Binance is rolling out a spot ‘copy trade’ tool that allows users to follow and automatically execute the same trades as eligible “lead traders”. The giant exchange announced that this will be available starting in May. It also said that lead traders will earn 10% profit share and 10% commission rebates from followers.

Binance launches spot ‘copy trade’ tool!

Cryptocoin.comAs you have been following from Binance, Binance is developing new applications in line with the demands of users. In this context, Binance is preparing to launch a new spot ‘copy trade’ tool. This will allow users to follow the same trades as some of the platform’s top traders. Thus, users will be able to execute these trades automatically. Rohit Wad, Binance CTO, said in a statement on the subject:

At Binance, we always listen to our users and incorporate their feedback into our products. Our users give us great ideas. Because they often know what’s best for them. Spot ‘copy trade’ is one such idea that came from community feedback. It’s a great tool that automates trading for our users and gives them the ability to try new trading strategies.

What will the implementation look like and what kind of opportunities will it provide?

Copy trade is pioneered by the social trading platform eToro. This allows anyone to monetize their expertise by opening up their portfolios for copying. In recent years, other major crypto exchanges such as Bybit, OKX and Bitget have also started using it. Binance’s new spot ‘copy trade’ product will be open for registration starting today to “lead traders” who meet minimum portfolio asset management size requirements. Furthermore, the tool will gradually roll out to users later in May.

A Binance spokesperson stated that lead traders’ spot ‘copy trade’ portfolios should be between 500 USDT and 250,000 USDT. Lead traders will receive a 10% weekly profit share from copy traders who copy their trades. They will also be eligible for a 10% trading commission rebate. The spokesperson said that users will be able to review metrics such as profit and loss records of lead traders. They will also be able to copy up to ten lead trader portfolios at a time. In addition, they will be able to set their own automated risk controls, such as stop-loss and copy with a fixed rate or fixed amount. Finally, he noted that there will be no leverage for spot ‘copy trade’.

Application regions and transaction parities

Meanwhile, it is possible for users to become both lead and copy traders. The feature will initially be available in select markets in Latin America, Europe, the Middle East and Asia Pacific. The exchange spokesperson revealed that the app will start with over a hundred spot pairs. He also said that more will be rolled out over time.

Binance will also hold a lead trader tournament from April 24 to May 8. The exchange announced that this will allow lead traders to start building their portfolios before the products are available on the Binance app.