The thing about the cryptocurrency trading industry is that it is huge, which means that there are many different ways that you can invest your assets, and make sure that you have a stake of the pie.
If you are relatively new to the world of cryptocurrency, then you probably don’t know all the terms and phrases, and are probably eager to learn these, so that you can leverage your advantage, and find the best cryptocurrency strategy for your needs.
Today, we’re going to talk all about copy trading, and why you might want to apply this method, and we will also go through what we believe to be the greatest crypto copy trading platforms and apps in the industry right now.
Let’s dive in.
What is Copy Trading?
Copy trading allows traders to copy the positions opened up by multiple traders automatically, and both trader accounts are going to be linked, which means that any trade that is executed through one trader account is also executed in the other trader account.
The copying trader has the option to also manage the copy trade, to see if it is well suited to their particular needs, or whether it needs adjusting.
As we mentioned in the introduction, there are many different platforms and apps out there that can help you with copy trading.
These platforms are going to let you use a wide range of tools so that you can minimize your risk, so let’s see what they are all about.
Why is Copy Trading Great for Newbies?
Crypto copy trading is a great option if you are brand new to the cryptocurrency industry, because the thing about cryptocurrency trading, in general, is that it often requires a lot of time and research.
For example, traders will need to find the best cryptocurrency projects, otherwise known as ‘hidden gems’, according to the cryptocurrency community.
You will also need to manage your trades and keep track of what’s going on when it comes to the industry.
This means that you need to have advanced knowledge of technical analysis. Of course, building up skills like this and doing your research is going to take a lot of your time.
There are a lot of green traders out there that are using copy trading because it allows them to make money while investing little of their effort and time.
Best Crypto Copy Trading Platforms & Apps
Pionex is an excellent cryptocurrency copy trading platform, because they are available absolutely for free.
If you are someone who is literally on day two of your currency venture, don’t have crypto and you have a lot of funds to spare when it comes to your investments, then you definitely need to make the most of these guys.
They have 16 free trading bots that are built into their software, so all you have to do is share your email address with them, and you can benefit from their automated software, and you don’t have to part with a penny.
We also like that they have versatile and diverse trading bots, so it doesn’t actually matter what method you are trying to execute with your trades right now, they can help you with it.
They say that they have been operating safely for more than 800 days at this point, and they have excellent customer support, as well as high-end security, so you never have to worry about your personal information being compromised in any way.
If you’re looking for a copy trading platform that is going to take care of your needs while making everything about your cryptocurrency trades easy, this is definitely the one to go for.
eToro is an extremely original and functional crypto trading platform that has some of the most advanced social trading features in the industry.
This means that you can trade not only your cryptocurrency, but you can trade your commodities, stocks, and gold.
They say that they support more than 16 cryptocurrencies at this point and their copy trading feature is really innovative, and exciting.
They let you copy other traders’ actions with adjustable levels of exposure and risk, which means that you aren’t completely dependent on someone else’s activity, and you can alleviate the risk of loss if you need to.
Another thing that we really like about these guys is that they’re completely regulated, which means that your funds are protected by industry-leading security protocols, and they don’t share private data without your permission.
As far as pricing is concerned, only withdrawals are going to incur a fee of $5, but you might end up getting charged for spreads.
Shrimpy is a super versatile and helpful crypto copy trading platform because they are based in the cloud, which means that you don’t have to download anything to use them.
They let their clients configure their cryptocurrency asset portfolio and you can also specify the percentage of your token’s value in your portfolio so that you can automatically rebalance these at a set time.
They offer their clients other features, and these include things like backtesting, insights, and social, so that you can be a part of the cryptocurrency community.
When it comes to their security, they offer API key encryption, fully secured HTTPS protocol, and two-factor authentication.
They offer support for a large number of exchanges, and they even have a beneficial referral program that you can make the most of.
Their pricing is a monthly membership fee and they let you create a portfolio and connect to their exchange account.
3Commas is going to offer you a lot of options when it comes to being a copy trading platform, because they have multiple copy trading strategies that you can use.
They offer their clients crypto trading bots as well as Bitcoin robots, and they also have a community where traders that are professional can trade their strategies and build up a community amongst their investments.
All you need to do is select the trading strategy that you are wanting to copy, and then the cryptocurrency bot is going to take care of the rest.
This way, you can automatically buy or sell orders, and you can do all this through your account with them.
The best part is that their funds aren’t held on the platform, and cryptocurrency trading bots aren’t able to make withdrawals on your behalf.
They offer support for a huge number of exchanges out there, they have a really good existing reputation, and their interface is great for beginners.
They have free three-day access for their pro plan and then their starter package is going to cost you $14.50 a month.
Coinmatics is another excellent crypto copy trading platform that was launched back in 2018.
This is an excellent tool for both beginners and professionals to make the most of and allows investors to copy their cryptocurrency deals in manual or automatic mode.
If you are a trader, they offer great opportunities to earn by making profits out of their copied deals.
The main feature is crypto copy trading, which is nice and convenient, and they also have a lot of other methods that you can make the most of, but one thing to note is that they only have Binance right now that is available for copy trading.
When it comes to the security side of things, they say that they don’t allow withdrawals on API key settings. They also have credible statistics, and two-factor authentication for account protection.
Their free trial is unlimited, and they have additional analytical tools for you to use if you are a professional trader, and they go by the profit-sharing principle.
At the end of the day, we think that they are another solid contender for being a crypto trading platform that has your back.
CopyMe is yet another excellent copy trading platform that is based in the US, and they are great for those that are looking for a high-quality, unique and effective platform that is going to give them the best shot of being able to copy trading strategies, and apply them successfully.
They let you perform trades by professionals, so that you can prove your chances of a better return.
We love that when it comes to their copy trading, they let you follow trades of one or more than one expert, so that you can decide how much you want to allocate to each expert without having to sell anybody your funds.
They have a number of different filters that you can use to find the best trader, and you can copy as many trading strategies as you want at the same time.
They also offer customer support that is available around the clock, and you are able to allocate your funds between several traders, so that you don’t have to just go for one.
When it comes to their pricing, this is a monthly subscription fee, and this begins at $40.
Kryll has everything you need as far as being a crypto copy trading platform, which means that they have cryptocurrency trading bots and powerful Bitcoin robots so that you can automate your cryptocurrency trading.
They also have a marketplace where you can tap into the cryptocurrency community and swap trading strategies with other traders.
These guys are a great option if you are just starting out in the cryptocurrency community and need some pretty basic features that are easy to use yet going to yield some serious results.
All you need to do to make the most of this copy trading platform is open a free account with them and choose the trading strategies that you want to copy to your account.
The good news is that everything is automatic, so once you have selected your trading strategy, you can test it out for free, before you implement it with your cryptocurrency coins.
They have apps available for both Android and iOS, and their pricing is 1% of traded capital for one month used.
Trade Mate is a super helpful platform when it comes to copy trading because they offer advanced features, which means that you can trade on some of the biggest platforms out there very easily.
If you are an investor, you can make the most of the platform to see which traders are best for you, so that you can make wise decisions when it comes to your cryptocurrency tokens.
One of the things that it’s known for the most is its trading bots that yield a quick result for investors, so that you have a simpler, quicker way to make the most of a number of different opportunities available in the industry.
They offer their clients a referral system, and their subscription is $20 a month, and they also have a free trial for seven days available.
Tradelize is another copy trading platform that is great if you want to make the most of the experience of other traders, without having to put the time in yourself.
It has been developed by traders that have more than 10 years’ worth of trading experience, and as a decentralized social network, you can join a community of investors and traders, and make the most of a desktop trading terminal that has professional quality.
They also have a mobile app that you can download, and they said they use real-life statistics directly from exchanges, so that you can make calculated risks when it comes to your investments.
Because they are such a community-minded network, the users of the network are going to rate the profiles of other professionals, so that you know that the majority of the people on there are legit, and have real, successful trading strategies that they want to share.
As a result, this platform has a number of different functions and services you can make the most of, from their simple portfolio management system to a mobile app.
They have a free package, as well as a pro terminal package which is going to cost you $39.99 a month.
Wunderbit is a really helpful crypto trading platform that can help you obtain trades from seasoned cryptocurrency traders, and you can also automate your trades through their trading bots.
They have a huge range of exchanges that you can capitalize on, and considering they are used by more than 2000 clients, we think that these guys are user-friendly and practical.
When it comes to pricing, this is based on the profit-sharing principle, which means that the first month is free, and then you will need to share 30% of your profit every two weeks.
There are no monthly payments involved with a platform like this.
Pros and Cons of Copy Trading
The business of copy trading is like any other out there, which means that it comes with both its advantages and disadvantages.
Let’s take a look at what these are.
You Can Make Money on Autopilot
Perhaps one of the biggest advantages to using a copy trading strategy is that it lets you grow your portfolio without spending much time or effort on it, whether you’re experienced or not.
All you need to do is monitor the strategies that you are copying occasionally and adjust these if you aren’t making enough profit.
Compare this to the average trader that needs to keep a trained eye on the market and make an advanced analysis of the tokens that they have invested in, as well as do a lot of research about tokens and projects in general, copy trading is a great way to make a passive income.
The more successful the strategies that you are copying, the more profit you’re going to make while you are away from your computer.
Don’t Need a Big Threshold
Another advantage to copy trading is that you don’t need a big threshold in order to be able to get started. This means that you can get started with copy trading for as little as $200.
You Are Less Likely to Rely on Yourself
Because copy trading is such an easy way to gain profit when it comes to your crypto currency without having to do any research or work, it doesn’t offer a good incentive when it comes to traders advancing their strategies, or doing market research of their own.
If you are constantly relying on copy trading, then you might miss out on a lot of money, because the thing about the cryptocurrency industry is that it is always changing and evolving, and if you aren’t changing and evolving with it, you could end up being left behind and missing out on a serious sum of money because you haven’t expanded your portfolio in the right way.
Not Always Profitable
Just like any other cryptocurrency trading strategy in the industry, there’s no guarantee that copy trading is going to yield a big profit for you.
Investing in copy trading does carry a lot less risk when it comes to beginner traders, while they are still learning the basics of trading.
However, if you rely completely on copy trading, this can still result in a loss.
This is why we think that as a copy trader, you need to split your portfolio between a number of different successful traders so that you aren’t putting all of your eggs in one basket, and relying on just one trading strategy.
If you do, then you do risk losing it all.
Is Copy Trading Legal?
Yes, copy trading is completely legal, but there are going to be a few roadblocks based on where you are located in the world, because each country is going to have different rules and regulations around trading in general.
As an example, some of the crypto copy trading platforms that we’ve talked about above can only copy trade from other US traders if they are a US resident.
This is why it pays to know what their rules are in your country, so that you can comply with them.
How Does Copy Trading Work?
Copy trading lets you make the same percentage of profits or losses as a trader is going to make by connecting your portfolio to their portfolio.
This means whenever the trader that you are copying opens or closes their positions, these actions are going to translate to your account, and you are going to do the same.
Obviously, this means that if you have connected your portfolio to a seasoned trader, who is known for being successful, you could end up being successful as well.
Can You Make Money Copying Trades?
There are a number of different factors to consider if you want to make some serious money from copying trades. The first is to think about the strategy that you were copying.
Again, you need to make sure that you are copying your strategy from a trader who has a good success rate, as well as a strong trading performance.
Try to stick to the most popular ones on the platform that you are currently using, because if you go for one that is lesser known, there’s probably a reason why they are lesser known, and you could end up regretting it.
Also, as we mentioned previously, the more diverse you are with your copying of trades, the less risk you take.
Another thing to think about when determining whether you’re going to make money from copying trading is how much the copy trading platform is charging you for using it.
The majority of platforms out there were going to charge fees on every position open or closed, but you also need to make sure that you aren’t running into any hidden fees, which aren’t getting explained to you before you sign up for anything.
How to Choose the Best Copy Trading Platform?
Choosing the best copy trading platform is going to depend on your needs as a trader, and how much you’re wanting to invest in copy trading in general.
For example, if you want to be learning all about trading while you are copy trading, then you need to choose a platform that is going to help you be part of a community, so that you can swap your ideas with others.
Platforms like this are going to help you improve your trading skills, so that you can eventually develop your very own trading strategies that you can share.
Another thing that you need to consider when deciding whether to copy trade or not is the level of safety.
If a platform uses API keys to connect your exchange to the copy trading account, then you can feel safe and secure because this means that they don’t have access to your funds.
This means that nobody is going to be able to withdraw your funds from your copy training account except for you.
So, there you have it, what we believe to be the best crypto copy trading platforms and apps in the industry right now.
As you have probably picked up on, there are plenty of different platforms and apps for you to choose from, which means that you have a choice ahead of you.
We think that deciding on which one is right for your needs all comes down to what you’re wanting to get out of using a copy trading platform, the kind of security that you are wanting, how much you are willing to pay for their features, and whether you want to be able to learn more about cryptocurrency trading in general while you’re making the most of them.
As we have talked about, there are quite a few in the industry that have free trials that you can capitalize on, so we definitely recommend that you make the most of these, so that you can determine whether the copy trading platform is right for your needs or not.