1. What is copy trading?
Copy trading is an investment management tool that allows users to copy the trading strategies of professional traders and execute them in the market. By simply following a few steps, users can easily enjoy high returns. And for pro traders in Toobit, can also earn additional profit-sharing.
2. Are there any fees for copy trading?
- The fee will be charged only for opening and closing positions, there is no other fee for copy trading. Please refer to Fee Rate for futures trading fees.
- VIP rates apply to contract copy trading.
3. Is there a KYC requirement for contract copy trading?
No, KYC is not required for contract copy trading.
4. What is the margin mode for contract copy trading?
- For pro traders, the margin mode can be "isolated" or "cross" depending on the symbol when opening positions.
- For followers, all orders are in "cross" mode under a pro trader, while each order is in "isolated" mode under different traders. The risk of each individual position is not shared by the orders placed by other traders.
5. What contract trading pairs are supported for copy trading?
Toobit currently open the following pairs for copy trading: BTC, ETH, BNB and DOGE. For more trading pairs, please contact copytrading@toobit.com.We will continue to open more trading pairs based on market demand and user requirements.
6. How is the profit share for copy trading distributed?
15% of the profits generated by a user's copy trading will be shared with the trader they are following.
7. Is there an investment limit for copy trading?
For pro traders, there is a limit for each symbol when applying, and you will not be able to open positions once you have reached the total trade amount limit.
For followers, the total investment amount, single position amount, and daily investment amount limits are set based on their risk preferences. There is a minimum copy trading amount of 10 USDT.
8. Is there a limit to the number of accounts in Copy Trading?
For pro traders, there is a limited number of followers that will be updated in the pro trader's profile. Users will not be able to follow the pro trader once this amount is reached unless some of the followers unsubscribe.
For followers, each account can follow 5 pro traders at a time.
9. Will the leverage of followers change with the changes of Pro Trader?
Yes, it will.
The leverage of the followers will change accordingly after the pro traders adjust the leverage.
- When the pro trader increases the leverage, the position margin will decrease.
- when the pro trader decreases the leverage, the position margin will increase; it may increase the risk of forced liquidation of the position or the failure of leverage adjustment.
10. Does copy trading support sub-accounts?
Currently, pro trader is only available for the main account.
Both the main and sub-accounts can be followers.
10.Open and close position rules
Open Positions
Pro Trader Order Type | Copy Trigger | Follower Order Type |
Taker (Market/Stop Market) | Immediately | IOC limit order Limit price: Slippage cap/floor |
Maker (Limit, Stop Limit) | Once the order is fully filled | IOC limit order Limit price: Slippage cap/floor |
Pro Trader Order Type | Copy Trigger | Follower Order Type |
Taker (Market/Stop Market) | Immediately | Market |
Maker (Limit, Stop Limit) | Once the order is fully filled | Market |
11. How to calculate the open and close position size?
[Fixed Ratio] mode
Open position:
For basic copy amount ratio: The copy trader's opening order cost is proportional to the pro trader’s order cost. However, the copy trader’s position entry price may not be exactly the same as the lead trader’s. Please note that slippage can affect the copy trader’s position size and the final position might be lower than the lead trader’s.
For example, the lead trader’s available margin balance is 1,000 USDT and they opened a position with an order cost of 500 USDT (The amount ratio is 50%). If a copy trader uses 500 USDT to copy the portfolio, the system will use 250 USDT as the open cost to open the position. However, please note that the final order size may be lower than 250 USDT due to slippage.
For ‘Copy then Open’ position amount ratio (copying only positions where market price is more favorable), the ratio would be the position initial margin/margin balance.
For example, the lead trader’s current position has an initial margin of 500 USDT, and the margin balance is 1,000 USDT, the amount ratio would be 50%. If copy trader copied the portfolio with 100 USDT, system will use 50 USDT as the order cost to open the position.
Close position: For example, a lead trader has a 1 BTCUSDT position and partially closed 20% of their position (0.2 BTC). One of their copy traders copied the trade with a total investment amount of 0.6 BTC, the system will automatically close 20% (0.12 BTC) for the copy trader.
[Fixed Amount] mode
Open position: The system will open each trade using the cost per order amount the copy trader set.
For example, a copy trader sets the cost per order amount as 20 USDT and the total investment amount is 60 USDT. The system will copy each new trade with 20 USDT as the open cost. After copying 3 orders, their margin balance will become 0 (lower than the cost per order amount). Therefore, the copy trader won’t be able to copy the lead trader’s positions anymore as they don’t have a sufficient margin balance.
Close position: For example, a lead trader has a 1 BTCUSDT position and partially closed 20% of their position (0.2 BTC). One of their copy traders copied the trade with a total investment amount of 0.6 BTC, the system will automatically close 20% (0.12 BTC) for the copy trader.
