Copy trading is one of our main features. Every verified account has an option to enable their public profile and become a Public trader, and every verified user can follow a Model trader. Followers could also be called investors. The important note though is that copy trading is a safer way of investing since Public traders have no access to their followers accounts and funds, and Investors can unfollow Traders at any moment. A Trader uses his own funds to trade, the rest is done automatically. The technological core of our system is liquidity aggregator that guarantees that buy and sell orders of the Public trader and his followers are executed simultaneously and at the same price. Another benefit of our copy trading system is that 28% fees are paid only in case of success. Therefore you won't have to pay anything except for the initial 2% entry fee if the trader you follow hasn't been successful and his trades haven't brought you profit.
Some rules of copy-trading system:
1. Investors can use only COV when allocating funds to follow a Trader.
2. An Investor can follow up to 20 traders.
3. A Trader can have an unlimited number of followers, but we are implementing a limit of total value of followers funds. This is done to avoid situations in which a trader with only $1K of funds has a following with funds worth $1M.
Here is an example of the copy trading process:
Investor John has $100K to invest and decides to follow our top Public trader Jack because of his awesome TA.
Let's assume that COV = $10
John exchanges $100 000 for 10,000 COV and allocates them to follow Jack's portfolio of mixed crypto.
Jack trades based on his charts in accordance with his stated strategy. Please remember that Jack doesn't have control of Investors funds. Jack trades and risks his own money.
John's portfolio will automatically mirror every trade executed by Jack. This process is executed by our liquidity aggregator in a matter of seconds.
Let's assume Jack makes 50% ROI, the Investors(John's) portfolio grows to $150K in value.
If John is happy with the result and doesn't want more, he unfollows Jack. The platform will execute this instruction and sell off the $150K portfolio to convert it into COV for the Investor.
If COV = $150ea > investor receives 1,000 tokens
If COV = $15ea > investor receives 10,000 tokens
If COV = $1.5ea > investor receives 100,000 tokens
In all 3 scenarios, the Investor receives $150K in value before sharing the commissions with the Trader and the Platform.
This is how fees (commissions) work: Jack earns $9K (18% of $50K profit), Covesting earns $5K (10% of $50K profit). This leaves John with a net position of $136K