Copy Trading is a system of trading that allows inexperienced traders to profit from the volatile crypto market by replicating the trading strategy of pro traders, who have maintained steady, verifiable profitability in the crypto market.
Some copy trading platforms depend on the services of veteran traders, while others have a trading bot programmed with algorithms to understand market cycles. Similarly, some are free to use, and others cost some money. Many platforms offer copy trading services with a wide range of comparative benefits; in this article, we will outline ten of the best platforms and their pros and cons. Hence, if you intend to venture into copy trading, you can make an informed choice.
Some of the best copy trading platforms in 2022 include:
Pionex
eToro
Cryptohopper
3commas
Coinmatics
Tradelize
Gate.io
PrimeXBT
Zignaly
Shrimpy
Pionex
Pionex’s biggest advantage over all other copy trading platforms is that it is free to use; hence, traders with low capital can try it out. Pionex offers traders 16 copy trading bots to choose from; you can review the history of these bots and choose which you prefer. Carrying out copy trades in Pionex is automated; hence, you can use the platform trade and earn passive income.
Pros
Free to use
Great UI
Wide range of tradeable crypto assets.
Wide pool of trading bots to choose from
Cons
It is strictly human-bot interaction; hence, it cannot be used for social trading.
It may be difficult to improve trading skills since there are no real guide traders.
It doesn’t have many functions.
eToro
eToro is one of the oldest platforms to introduce copy trading, starting with stocks, commodities, and FX pairs, and they have added crypto copy trading to their platform. Their biggest selling points are “ease of use,” super functionality, and social trading features. eToro allows you to discuss strategy with other traders in a community, and you can easily copy trades that convince you.
You may follow up to 100 guide traders on eToro and copy their exact strategy or customize it to suit your taste; this helps you mitigate risks by ensuring that you aren’t completely dependent on another person’s trade. eToro’s social trading feature also allows you to see how many times a guide trader has been “liked” and read comments from fellow copy traders; hence, you can make informed decisions before copying anyone.
Pros
The platform is loaded with a variety of functions
As an industry pioneer, eToro is loaded with thousands of experienced traders whom you can copy.
The platform is super easy to use.
The social experience is top-notch.
Cons
Crypto deposits are not enabled.
Copy trading is not exclusive to cryptocurrency.
It entails some expensive fees.
Cryptohopper
Cryptohopper is one of the best bot-based copy trading platforms. They have several crypto trading bots that have studied market cycles, so when you pay for any plan, the trade is replicated in your account. Cryptohopper has a reputation for being one of the most reliable bot trading platforms. Unlike many bot trading platforms, Cryptohopper facilitates a social trading experience where you can execute trades based on communication between you and other traders on the platform; hence, you can rely on bots or humans.
Pros
Reliable crypto trading bots
Easy to use for beginners
The platform is not limited to bots; it is also optimized for social trading
.There is a limited free plan
.The platform’s copy API is compatible with major exchanges like Binance and Coinbase.
Cons
The payment plans are quite pricey
3Commas
3Commas incorporates bot trading with social trading. The platform allows you to copy a trade executed by a trading bot created by a guide trader. So, you can carry out automated trades copied from a human with the aid of a trading bot.
As a trader, you can create your strategy and set up a trading bot, and your success statistics will be available for others who intend to copy you.
Pros
It offers a good blend between bot copy trading and social trading.
High level of automation, so you can set parameters and engage in passive trading.
There is a limited free plan and a free trial for their pro plans.
Cons
Their software is expensive
It may not be the easiest platform for newbies.
Coinmatics
Coinmatics allows traders to execute copy trades in manual or automatic mode; this means you can copy a trade the exact way it comes, or you can carry it out manually to mitigate risks and be in control, hence treating the copy trade like a mere trading signal.
Coinmatics provide all trading signals tnd do not permit any outside guide traders; however, they are reliable and have very good win rates. Finally, they prioritize user security with two-factor authentication, non-API withdrawals, and other protective measures.
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.
Pros
Manual and Automatic copy trading.
A slightly limited free plan
Easy to use
No fees for the first $2,500 traded
Cons
RThe rangeis low: Users can only copy the platform, as there is no chance to copy individual guide traders.
Very few exchange API is supported.
No social trading tools.
Tradelize
Tradelize is a social trading platform that seems to coin its name from “trade” and “socialize.” It is a social trading platform developed by well-experienced traders who created a community for interaction between crypto traders to facilitate huge success.
Every trader has a profile, like social media accounts, where one can see their statistics and achievements; these statistics are linked directly from their trading accounts and guide traders can monetize their skills by offering subscription-based services to followers who want to copy their strategy.
Pros
Excellent social trading
Provides an opportunity for newbie traders to grow
A good way for both copy traders and guide traders to make money
A limited free package
Cons
Only a handful of crypto exchanges are connected to see trader statistics.
Copy trading within the app is only possible on the paltry number of connected exchanges.
The Pro package may be a bit expensive
Gate.io
Gate.io is a major crypto exchange with copy trading capabilities. Due to its infrastructure, it supports copy trading for over 1,600 spot trading and 30 futures contract pairs. The copy trading platform on Gate.io benefits from the crypto exchange’s security and wide range. In addition, the platform has a good range of experienced guide traders, from which users can select. There are enough statistics to judge with, so you can judge a trader’s strength in comparison with others on the platform.
To keep the ecosystem balanced, Gate.io pays the guide traders 5% of pthe rofits from copy traders.
Pros
Reputable and secure platform.
Wide pool of trading pairs to select from.
Experienced guide traders.
Executing copy trades are easy.
Cons
5% commission may be too high for some traders.
The mobile app isn’t as functional as the desktop app.
PrimeXBT
PrimeXBT is primarily a crypto margin trading exchange; however, they have added copy trading to their services. Copy trading on PrimeXBT is very social, and with the platform’s statistics, new traders can learn from the sagacity or mistakes of experienced traders, improving their skills while earning money via copy trading. On PrimeXBT, Guide traders earn a percentage of copy traders’ profitable trades.
Away from Crypto, the app also supports stocks, commodities, and forex copy trading.
Pros
• Low fees
• Excellent social trading experience
• It doesn’t require KYC
• Great learning avenue for newbie traders
Cons
• A low range of tradeable crypto assets
• The platform is unregulated
• It doesn’t support fiat deposits
Zignaly
Zignaly is a social copy trading platform that allows copy traders to benefit from experienced traders and replicate their trades at no cost. All you need to do is check out the profile, trading history, and statistics of traders on their social platforms to judge their performances. With this information, you can select traders to copy.
They also have a unique feature that allows you to delegate funds to a trader on the platform; for example, you may delegate some USDT to “Trader X,” and when they open a new position, your funds will take a percentage of the trade; if the trade is profitable, you will get a reward in proportion to your share of the trade.
Zignally covers for their zero-fee policy with huge commissions; Guide traders take a 20% commission from copy traders’ profitable trades.
Pros
The platform is free to use
Highly sociable copy trading platform
Passive income generator
Cons
High commissions
Guide traders are handpicked by the platform
Shrimpy
Shrimpy is a bot-assist copy trading platform that helps you copy successful traders with bots. Additionally, the platform can help you manage your crypto portfolio across all wallets and exchanges for proper asset management and risk analysis.
Shrimpy has a demo, as well as a portfolio rebalancing tool, so if you are looking to play safe, Shrimpy may just be right for you.
Pros
Shrimpy has a demo, so you can test the platform before investing money.
They have automatic portfolio rebalancing tools that help you manage your assets with proper risk management.
Great customer support.
Supports a wide range of crypto assets and exchanges.
Cons
No mobile application
You can’t manually carry out trades.
Final Takeaway
Although these are our top picks in 2022, several other platforms offer excellent copy trading services. The key to choosing a good platform is to find one with flexibility, allowing manual and automated trades, reliable statistics, and huge security. If you are a beginner, you should also look out for platforms with low fees and commissions; if possible, use a free copy trading platform.
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